Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
General Motors Co., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
The analysis of the financial ratios over the observed periods reveals several noteworthy trends related to the company's leverage and ability to cover interest expenses.
- Debt to Equity Ratio
- This ratio exhibits a general downward trend from 2.3 at the beginning of the period to a low of approximately 1.6 towards the end of 2023, indicating a reduction in reliance on debt financing relative to equity. However, from late 2023 to 2025, the ratio increases again, returning close to earlier levels near 2.0. This fluctuation suggests a strategic shift beginning in 2024 to moderately increase debt levels relative to equity.
- Debt to Capital Ratio
- The debt to capital ratio follows a similar pattern as debt to equity, decreasing from 0.70 in early 2021 to about 0.61 by late 2023, implying a gradual reduction in the proportion of debt in the company’s capital structure. From 2024 onwards, the ratio stabilizes and slightly rises to approximately 0.67 by 2025, reflecting a stabilization of leverage after the prior decline.
- Debt to Assets Ratio
- This ratio shows a mild decline from around 0.47 in early 2021 to approximately 0.42 in late 2023, indicating a slight decrease in the portion of the company’s assets financed by debt. Similar to other leverage ratios, it increases modestly thereafter, approaching 0.47 again by 2025. The movement suggests a cautious approach to asset financing with some increase in debt usage in recent periods.
- Financial Leverage
- The financial leverage ratio decreases steadily from 4.93 in early 2021 to about 3.78 by late 2023, denoting a reduction in the degree to which the company is using debt to amplify equity returns. In 2024 and 2025, this metric experiences an uptick, rising to around 4.34 by the end of the observed period, consistent with trends showing greater leverage during this timeframe.
- Interest Coverage Ratio
- This ratio, indicating the company’s ability to pay interest on debt, shows improvement early on, rising from 11.08 to a peak of near 15.87 in mid-2021, and generally maintains elevated values through 2023, fluctuating around 12 to 15. However, starting in 2024, a decline is observed, culminating in a drop to 7.21 by the third quarter of 2025. This downward trend signals a weakening capacity to cover interest expenses, potentially reflecting increased financial costs or reduced earnings relative to interest obligations.
Overall, the company demonstrates a pattern of deleveraging until late 2023, as seen through multiple metrics indicating reduced debt levels and financial leverage. However, beginning in 2024, there is a reversal toward higher leverage and debt usage. Concurrently, the declining interest coverage ratio in the latter periods suggests a growing risk associated with the company's debt servicing ability, which may warrant monitoring and management attention.
Debt Ratios
Coverage Ratios
Debt to Equity
General Motors Co., debt to equity calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Short-term debt and current portion of long-term debt | 36,477) | 38,314) | 35,934) | 39,432) | 36,162) | 38,098) | 35,976) | 38,968) | 38,652) | 36,668) | 37,010) | 38,778) | 35,084) | 32,306) | 33,037) | 33,720) | 34,819) | 34,190) | 35,068) | ||||||
| Long-term debt, excluding current portion | 96,026) | 97,417) | 96,744) | 90,300) | 91,689) | 88,338) | 86,261) | 82,773) | 80,221) | 81,375) | 77,411) | 75,921) | 77,523) | 78,081) | 76,768) | 75,659) | 74,134) | 76,698) | 76,179) | ||||||
| Total debt | 132,503) | 135,731) | 132,678) | 129,732) | 127,851) | 126,436) | 122,237) | 121,741) | 118,873) | 118,043) | 114,421) | 114,699) | 112,607) | 110,387) | 109,805) | 109,379) | 108,953) | 110,888) | 111,247) | ||||||
| Stockholders’ equity | 66,374) | 66,363) | 64,372) | 63,072) | 70,935) | 68,633) | 66,598) | 64,286) | 74,475) | 71,655) | 69,877) | 67,792) | 65,268) | 63,954) | 62,095) | 59,744) | 54,150) | 51,669) | 48,343) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to equity1 | 2.00 | 2.05 | 2.06 | 2.06 | 1.80 | 1.84 | 1.84 | 1.89 | 1.60 | 1.65 | 1.64 | 1.69 | 1.73 | 1.73 | 1.77 | 1.83 | 2.01 | 2.15 | 2.30 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Equity, Competitors2 | |||||||||||||||||||||||||
| Ford Motor Co. | 3.42 | 3.50 | 3.48 | 3.54 | 3.55 | 3.46 | 3.49 | 3.49 | 3.22 | 3.28 | 3.29 | 3.21 | 3.05 | 2.92 | 3.01 | 2.85 | 3.95 | 4.24 | 4.51 | ||||||
| Tesla Inc. | 0.10 | 0.09 | 0.10 | 0.11 | 0.11 | 0.12 | 0.08 | 0.08 | 0.10 | 0.07 | 0.08 | 0.09 | 0.12 | 0.15 | 0.17 | 0.26 | 0.33 | 0.41 | 0.50 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 132,503 ÷ 66,374 = 2.00
2 Click competitor name to see calculations.
The financial data reveals notable trends in the company’s capital structure over multiple quarters. Total debt has shown a generally upward trajectory with occasional fluctuations. Starting from approximately 111 billion USD in early 2021, the total debt experienced gradual increases, reaching beyond 135 billion USD by mid-2025, before slightly declining in the last reported quarter. This indicates a consistent reliance on borrowing over the analyzed periods.
Stockholders’ equity exhibited growth until late 2023, increasing from about 48 billion USD at the beginning of 2021 to a peak around 74 billion USD. However, a decline followed starting in late 2023 through much of 2024 and early 2025, with equity values dropping back to around 66 billion USD. This downward trend in equity contrasts with the steady rise in total debt, suggesting increased leverage.
The debt to equity ratio confirms this observation. Initially, it decreased significantly from 2.3 in early 2021 to a low near 1.6 by late 2023, reflecting an improving balance between debt and equity—potentially due to equity growth outpacing increases in debt. However, from late 2023 onwards, this ratio reversed course and climbed steadily back to around 2.0 by mid-2025, indicating heightened financial leverage. This increase was driven both by rising debt levels and declining equity.
In summary, the company’s capital structure improved during the initial part of the period under review, with decreasing leverage as equity grew. In contrast, the later period showed a return to higher leverage, characterized by increased debt and reduced equity values. These shifts might imply changing strategic or operational conditions influencing financing decisions and equity performance.
Debt to Capital
General Motors Co., debt to capital calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Short-term debt and current portion of long-term debt | 36,477) | 38,314) | 35,934) | 39,432) | 36,162) | 38,098) | 35,976) | 38,968) | 38,652) | 36,668) | 37,010) | 38,778) | 35,084) | 32,306) | 33,037) | 33,720) | 34,819) | 34,190) | 35,068) | ||||||
| Long-term debt, excluding current portion | 96,026) | 97,417) | 96,744) | 90,300) | 91,689) | 88,338) | 86,261) | 82,773) | 80,221) | 81,375) | 77,411) | 75,921) | 77,523) | 78,081) | 76,768) | 75,659) | 74,134) | 76,698) | 76,179) | ||||||
| Total debt | 132,503) | 135,731) | 132,678) | 129,732) | 127,851) | 126,436) | 122,237) | 121,741) | 118,873) | 118,043) | 114,421) | 114,699) | 112,607) | 110,387) | 109,805) | 109,379) | 108,953) | 110,888) | 111,247) | ||||||
| Stockholders’ equity | 66,374) | 66,363) | 64,372) | 63,072) | 70,935) | 68,633) | 66,598) | 64,286) | 74,475) | 71,655) | 69,877) | 67,792) | 65,268) | 63,954) | 62,095) | 59,744) | 54,150) | 51,669) | 48,343) | ||||||
| Total capital | 198,877) | 202,094) | 197,050) | 192,804) | 198,786) | 195,069) | 188,835) | 186,027) | 193,348) | 189,698) | 184,298) | 182,491) | 177,875) | 174,341) | 171,900) | 169,123) | 163,103) | 162,557) | 159,590) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to capital1 | 0.67 | 0.67 | 0.67 | 0.67 | 0.64 | 0.65 | 0.65 | 0.65 | 0.61 | 0.62 | 0.62 | 0.63 | 0.63 | 0.63 | 0.64 | 0.65 | 0.67 | 0.68 | 0.70 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Capital, Competitors2 | |||||||||||||||||||||||||
| Ford Motor Co. | 0.77 | 0.78 | 0.78 | 0.78 | 0.78 | 0.78 | 0.78 | 0.78 | 0.76 | 0.77 | 0.77 | 0.76 | 0.75 | 0.74 | 0.75 | 0.74 | 0.80 | 0.81 | 0.82 | ||||||
| Tesla Inc. | 0.09 | 0.09 | 0.09 | 0.10 | 0.10 | 0.10 | 0.08 | 0.08 | 0.09 | 0.06 | 0.07 | 0.09 | 0.10 | 0.13 | 0.15 | 0.20 | 0.25 | 0.29 | 0.34 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Debt to capital = Total debt ÷ Total capital
= 132,503 ÷ 198,877 = 0.67
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several important trends regarding the company's capital structure over the observed periods. Total debt and total capital figures display notable fluctuations, while the debt-to-capital ratio exhibits a pattern of gradual decline followed by stabilization and a slight increase.
- Total Debt
- Total debt remained relatively stable from March 2021 through March 2022, fluctuating slightly within the range of approximately $108.9 billion to $110.9 billion. From mid-2022 onwards, total debt demonstrated a consistent upward trend, increasing each quarter and peaking around $135.7 billion in mid-2025 before experiencing a moderate decrease in the final period observed. This overall pattern indicates a strategic increase in debt financing over recent years, although the last quarter suggests a potential beginning of debt reduction or refinancing.
- Total Capital
- Total capital steadily increased from roughly $159.6 billion in early 2021 to a high approximately $202.1 billion by mid-2025. However, unlike total debt, capital saw some fluctuations, including a slight dip in the final quarters. The general upward trend implies growth in the overall financing base, whether through debt, equity, or retained earnings, signaling expansion or increased investment in the company’s assets and operations over the medium term.
- Debt-to-Capital Ratio
- The debt-to-capital ratio started at 0.70 in March 2021 and progressively declined to about 0.61 by September 2023, indicating that debt grew at a slower pace than total capital during this period. This decline reflects a reduction in leverage, suggesting efforts to strengthen the company’s balance sheet by increasing equity or paying down debt proportionally.
- From late 2023 onward, the ratio reversed its trend and increased to approximately 0.67 by mid-2025, signaling a relative increase in debt compared to total capital. This shift aligns with the observed rise in total debt during the same period and could imply renewed borrowing to fund operations, investments, or other financial strategies, accompanied by either slower capital growth or increased leverage preference.
- Overall Insights
- The company's financial strategy appears to have transitioned from deleveraging or cautious capital structure management, marked by a decreasing debt-to-capital ratio, to a phase of increased debt reliance relative to total capital starting in late 2023. While total capital continues to grow overall, the ratio dynamics suggest a shift in funding mix towards debt. Monitoring this trend is important for assessing potential implications on financial risk, interest obligations, and flexibility in capital management.
Debt to Assets
General Motors Co., debt to assets calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Short-term debt and current portion of long-term debt | 36,477) | 38,314) | 35,934) | 39,432) | 36,162) | 38,098) | 35,976) | 38,968) | 38,652) | 36,668) | 37,010) | 38,778) | 35,084) | 32,306) | 33,037) | 33,720) | 34,819) | 34,190) | 35,068) | ||||||
| Long-term debt, excluding current portion | 96,026) | 97,417) | 96,744) | 90,300) | 91,689) | 88,338) | 86,261) | 82,773) | 80,221) | 81,375) | 77,411) | 75,921) | 77,523) | 78,081) | 76,768) | 75,659) | 74,134) | 76,698) | 76,179) | ||||||
| Total debt | 132,503) | 135,731) | 132,678) | 129,732) | 127,851) | 126,436) | 122,237) | 121,741) | 118,873) | 118,043) | 114,421) | 114,699) | 112,607) | 110,387) | 109,805) | 109,379) | 108,953) | 110,888) | 111,247) | ||||||
| Total assets | 288,168) | 289,384) | 282,104) | 279,761) | 289,289) | 282,956) | 276,591) | 273,064) | 281,705) | 275,833) | 267,004) | 264,037) | 260,529) | 253,517) | 251,492) | 244,718) | 238,557) | 241,803) | 238,411) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Debt to assets1 | 0.46 | 0.47 | 0.47 | 0.46 | 0.44 | 0.45 | 0.44 | 0.45 | 0.42 | 0.43 | 0.43 | 0.43 | 0.43 | 0.44 | 0.44 | 0.45 | 0.46 | 0.46 | 0.47 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Debt to Assets, Competitors2 | |||||||||||||||||||||||||
| Ford Motor Co. | 0.54 | 0.54 | 0.55 | 0.56 | 0.55 | 0.55 | 0.54 | 0.55 | 0.53 | 0.54 | 0.54 | 0.54 | 0.52 | 0.52 | 0.54 | 0.54 | 0.57 | 0.59 | 0.59 | ||||||
| Tesla Inc. | 0.06 | 0.06 | 0.06 | 0.07 | 0.06 | 0.07 | 0.05 | 0.05 | 0.06 | 0.04 | 0.04 | 0.05 | 0.06 | 0.08 | 0.09 | 0.12 | 0.16 | 0.19 | 0.22 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Debt to assets = Total debt ÷ Total assets
= 132,503 ÷ 288,168 = 0.46
2 Click competitor name to see calculations.
The financial data over the examined periods present several notable trends regarding the company’s leverage and asset base. The total debt shows a gradual upward trend overall, increasing from approximately 111 billion US dollars at the end of March 2021 to about 132.5 billion US dollars by the end of September 2025. This increase is relatively steady with some periods showing more accelerated debt growth, particularly in the later years, reflecting possible additional financing or capital expenditures.
Total assets also display a general upward trajectory, rising from about 238 billion US dollars at the end of March 2021 to a peak near 289 billion US dollars around September 2025. However, the asset growth is somewhat uneven, with a notable dip occurring near the end of 2023 followed by fluctuations in subsequent quarters, indicating variability in asset accumulation or potential asset disposals.
The debt to assets ratio trends downward initially, moving from 0.47 in March 2021 to a low around 0.42 in September 2023. This decline suggests an improvement in the asset coverage of liabilities during this period, potentially reflecting stronger asset growth relative to debt increases or some debt management efforts. Following this low point, the ratio begins to rise again, reaching 0.46 by September 2025, which implies that debt levels have started growing proportionally faster than asset growth or assets have declined relative to debt, signaling a subtle decrease in leverage quality or financial flexibility.
- Total Debt
- Exhibits a consistent increase over the observed period, with accelerated growth in recent quarters.
- Total Assets
- Displays an overall increase but with intermittent periods of instability and a notable dip around late 2023.
- Debt to Assets Ratio
- Initially decreases, indicating improved solvency, but later trends upward, pointing to increased leverage risk or decreased asset coverage.
In summary, while the company has expanded both its asset base and its debt load, the leverage position improved initially but has shown signs of reversing in recent quarters. The observed dynamics suggest a need for ongoing monitoring of debt management and asset efficiency to sustain financial stability.
Financial Leverage
General Motors Co., financial leverage calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Total assets | 288,168) | 289,384) | 282,104) | 279,761) | 289,289) | 282,956) | 276,591) | 273,064) | 281,705) | 275,833) | 267,004) | 264,037) | 260,529) | 253,517) | 251,492) | 244,718) | 238,557) | 241,803) | 238,411) | ||||||
| Stockholders’ equity | 66,374) | 66,363) | 64,372) | 63,072) | 70,935) | 68,633) | 66,598) | 64,286) | 74,475) | 71,655) | 69,877) | 67,792) | 65,268) | 63,954) | 62,095) | 59,744) | 54,150) | 51,669) | 48,343) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Financial leverage1 | 4.34 | 4.36 | 4.38 | 4.44 | 4.08 | 4.12 | 4.15 | 4.25 | 3.78 | 3.85 | 3.82 | 3.89 | 3.99 | 3.96 | 4.05 | 4.10 | 4.41 | 4.68 | 4.93 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Financial Leverage, Competitors2 | |||||||||||||||||||||||||
| Ford Motor Co. | 6.35 | 6.50 | 6.37 | 6.36 | 6.48 | 6.35 | 6.40 | 6.39 | 6.06 | 6.09 | 6.06 | 5.92 | 5.86 | 5.56 | 5.62 | 5.30 | 6.91 | 7.17 | 7.71 | ||||||
| Tesla Inc. | 1.67 | 1.66 | 1.68 | 1.67 | 1.71 | 1.70 | 1.70 | 1.70 | 1.76 | 1.77 | 1.81 | 1.84 | 1.87 | 1.88 | 1.94 | 2.06 | 2.14 | 2.22 | 2.30 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 288,168 ÷ 66,374 = 4.34
2 Click competitor name to see calculations.
- Total Assets
- The total assets of the company exhibit an overall upward trend from March 2021 through September 2025. Starting at approximately $238.4 billion in March 2021, the assets gradually increase each quarter, peaking near $289.4 billion in September 2025. Although there is some fluctuation, the general trajectory is positive, with slight decreases observed in certain quarters such as from December 2023 to March 2024 and from December 2024 to March 2025. This indicates consistent investment or asset accumulation over the examined periods, with occasional minor contractions.
- Stockholders’ Equity
- Stockholders’ equity shows growth from $48.3 billion in March 2021 to a peak of around $74.5 billion in September 2023. After this peak, there is a notable decline in equity to approximately $64.3 billion in December 2023. Following this reduction, equity stabilizes and trends moderately upward again but does not reach previous peak levels by September 2025, settling near $66.4 billion. The fluctuations in equity levels suggest periods of either increased retained earnings or capital issuance followed by equity reductions possibly due to losses, dividends, or share repurchases in late 2023.
- Financial Leverage
- Financial leverage, defined as the ratio of total assets to stockholders’ equity, decreases from 4.93 in March 2021 to around 3.78 in September 2023, reflecting a gradual deleveraging or strengthening equity base relative to assets. However, this trend reverses sharply thereafter, with leverage rising to a high of 4.44 by March 2025. Post this peak, it slightly decreases but remains elevated around 4.34 by September 2025. The initial decline in leverage indicates improved equity financing or reduced reliance on debt, but the later increase suggests a strategy shift towards higher leverage or reduced equity base, aligning with the observed drop in stockholders’ equity during that timeframe.
- Overall Insights
- The company has expanded its asset base steadily over the analyzed period while experiencing fluctuations in equity levels and leverage. The equity peak and subsequent reduction in late 2023 and early 2024 are significant, corresponding with a rise in financial leverage. This pattern indicates a period where reliance on debt financing increased or equity was otherwise diminished. The trends suggest active management of the capital structure, with phases of deleveraging followed by increased leverage. The consistency in total asset growth combined with the equity and leverage shifts may reflect strategic financial decisions in response to changing operational or market conditions.
Interest Coverage
General Motors Co., interest coverage calculation (quarterly data)
| Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||
| Net income (loss) attributable to stockholders | 1,327) | 1,895) | 2,784) | (2,961) | 3,056) | 2,933) | 2,980) | 2,102) | 3,064) | 2,566) | 2,395) | 1,998) | 3,305) | 1,692) | 2,939) | 1,741) | 2,420) | 2,836) | 3,022) | ||||||
| Add: Net income attributable to noncontrolling interest | (34) | (1) | 69) | 86) | (48) | (56) | (27) | (109) | (70) | (59) | (49) | 9) | (53) | (50) | (132) | 25) | (34) | (57) | (8) | ||||||
| Add: Income tax expense | 126) | 481) | 719) | 319) | 709) | 766) | 762) | (858) | 470) | 522) | 429) | 582) | 845) | 490) | (28) | 471) | 152) | 971) | 1,177) | ||||||
| Add: Automotive interest expense | 209) | 198) | 152) | 215) | 206) | 206) | 219) | 222) | 229) | 226) | 234) | 268) | 259) | 234) | 226) | 227) | 230) | 243) | 250) | ||||||
| Earnings before interest and tax (EBIT) | 1,628) | 2,573) | 3,724) | (2,341) | 3,923) | 3,849) | 3,934) | 1,357) | 3,693) | 3,255) | 3,009) | 2,857) | 4,356) | 2,366) | 3,005) | 2,464) | 2,768) | 3,993) | 4,441) | ||||||
| Solvency Ratio | |||||||||||||||||||||||||
| Interest coverage1 | 7.21 | 10.22 | 11.75 | 11.07 | 15.31 | 14.65 | 13.66 | 12.42 | 13.39 | 13.65 | 12.65 | 12.75 | 12.89 | 11.56 | 13.21 | 14.39 | 14.95 | 15.87 | 11.08 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Interest Coverage, Competitors2 | |||||||||||||||||||||||||
| Ford Motor Co. | 5.41 | 4.77 | 6.55 | 7.49 | 3.57 | 3.88 | 3.69 | 4.05 | 6.58 | 4.59 | 3.38 | -1.40 | 6.10 | 7.71 | 7.10 | 10.86 | 2.50 | 2.91 | 3.10 | ||||||
| Tesla Inc. | 19.97 | 21.42 | 22.07 | 26.69 | 28.48 | 31.31 | 45.64 | 64.93 | 92.91 | 94.40 | 82.09 | 72.83 | 55.02 | 36.16 | 29.34 | 18.10 | 8.49 | 5.73 | 3.38 | ||||||
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
1 Q3 2025 Calculation
Interest coverage
= (EBITQ3 2025
+ EBITQ2 2025
+ EBITQ1 2025
+ EBITQ4 2024)
÷ (Interest expenseQ3 2025
+ Interest expenseQ2 2025
+ Interest expenseQ1 2025
+ Interest expenseQ4 2024)
= (1,628 + 2,573 + 3,724 + -2,341)
÷ (209 + 198 + 152 + 215)
= 7.21
2 Click competitor name to see calculations.
- Earnings before Interest and Tax (EBIT)
- The EBIT figures demonstrate considerable volatility throughout the observed period. The initial quarters in 2021 start with relatively strong values, peaking at 4441 million US dollars at the end of Q1 2021, followed by a marked decline into Q4 2021, hitting a low near 2464 million. Early 2022 shows a partial recovery with EBIT rebounding over subsequent quarters, reaching a high of 4356 million US dollars in Q3 2022. However, there is a notable sharp decrease in Q4 2023 to 1357 million, which is the lowest point since the start of the series, before subsequently recovering gradually through the first three quarters of 2024. The final data points demonstrate significant instability, including a negative EBIT figure of -2341 million US dollars in Q4 2024, indicative of operational challenges or extraordinary expenses at that time, followed by a partial rebound but remaining below earlier peaks.
- Automotive Interest Expense
- The automotive interest expense exhibits relative stability over the entire period, with values fluctuating moderately between 150 and 270 million US dollars. The lowest interest cost appears in Q1 2025 at 152 million, whereas the highest is near 268 million in Q4 2021. This consistent interest expense, without dramatic increases, suggests stable borrowing costs or debt levels on average, though the slight downward trend towards mid-2025 may reflect improved debt management or refinancing efforts.
- Interest Coverage Ratio
- The interest coverage ratio experiences fluctuations aligned with changes in EBIT, reflecting the company’s varying ability to service interest expenses from operating earnings. The highest ratio, above 15, is noted in Q2 2021 and Q3 2024, pointing to strong coverage capacity at those times. The ratio declines notably toward the end of the period, falling to a low of 7.21 in Q3 2025, implying reduced earnings relative to interest obligations and potential pressure on financial flexibility. Overall, while the interest coverage remains above typical critical thresholds for most quarters, the downward trend in later periods signals caution regarding operating profitability or interest burden.