Core Viewpoint - The company has lowered its revenue and adjusted net income forecasts for Q3 2025 due to pressures in smartphone shipments, competition, and subsidy tightening, but maintains a positive outlook on mid-term growth sustainability [1]. Group 1: Smart EV Business - The elevated YU7 SUV mix is expected to improve the product mix and raise the average selling price (ASP) to RMB 260,000, with the smart EV segment projected to achieve its first profitable quarter with a GAAP net profit of RMB 700-800 million [2]. - Xiaomi's limited-time subsidy program of up to RMB 15,000 for locked orders is seen as a strategic move to align with peers amid government tax benefit reductions, although potential profit erosion from this policy is viewed as manageable [2]. Group 2: Smartphone Market - Xiaomi's global smartphone shipments reached 43.5 million units in Q3 2025, reflecting a 2% year-over-year increase, with a decline in shipments in China attributed to subsidy tightening and a lack of new products [4]. - The company has adjusted its gross profit margin (GPM) forecasts for smartphones downward by 0.3-0.6 percentage points for 2025-2027 due to anticipated upward pressure on DRAM and NAND prices [4]. - Premiumization efforts are expected to help Xiaomi manage pricing pressures, with a 30% increase in cumulative shipments of the Xiaomi 17 series compared to the previous generation, and over 80% of these shipments attributed to Pro versions [5].

CNBC’s Phil LeBeau and General Motors CFO Paul Jacobson join 'Squawk Box' to discuss the company's quarterly earnings results, impact of tariffs, state of the company's EV business, production outlook, and more. ...

Core Viewpoint - General Motors has demonstrated resilience in its operations despite challenges from tariffs, raising its guidance for the fourth quarter while managing to maintain a strong vehicle portfolio and market share [2][4][16]. Financial Performance - The company reported better-than-expected results on both revenue and earnings, although profits were lower than the same quarter last year due to tariff impacts [2][4]. - Tariff costs are estimated to be between $3.5 billion and $4.5 billion for the full year, which is a reduction from previous expectations [5][6]. Tariff Impact and Mitigation - Recent announcements from the Trump administration regarding tariff offsets are expected to help maintain competitiveness in U.S. manufacturing, with a 3.75% MSRP offset remaining in place [6][7]. - The company is focused on overcoming tariff challenges and aims to return to an 8% to 10% market margin in North America [7]. Electric Vehicle (EV) Strategy - General Motors took a $1.6 billion impairment charge related to its EV business, indicating that while 40% of EVs were variable profit positive, they did not achieve EBIT profitability in the third quarter [8][10]. - The company is reevaluating its EV capacity in light of lower demand forecasts, particularly with the cessation of the $7,500 tax credit, which has led to a restructuring charge [9][14]. Production and Market Share - The internal combustion engine (ICE) vehicle segment is performing well, with over 17% market share, the highest for a third quarter in recent years [16]. - The company plans to invest $4 billion in capital over the next few years to expand production capacity in the U.S. while maintaining capital discipline [17][18].

Company Overview - Ford is planning to invest up to €4.4 billion ($4.8 billion) into its German operations to reduce debt and enhance competitiveness, as its German arm has €5.8 billion ($6.3 billion) in debt [1][2] - The investment aims to stabilize Ford's operations in Europe, which have been struggling due to rising costs, weak demand, and competition from Chinese EV makers [1][2] Financial Performance - Ford has been incurring losses in Europe for several years, leading to cost-cutting measures, including plans to cut 4,000 jobs by 2027 [2] - The Model e division, focused on electric vehicles, reported a loss of $5.07 billion in 2024, an increase from a $4.7 billion loss in 2023, with expectations of another loss of $5-5.5 billion in the current year [7] - The Ford Blue segment, which includes traditional gas-powered vehicles, is projected to see EBIT drop from $5.3 billion in 2024 to $3.5-4 billion in 2025 due to lower sales and product mix changes [8] Segment Performance - Ford Pro, the commercial vehicle business, experienced a 15% revenue increase to $67 billion in 2024, with EBIT rising from $7.2 billion to $9 billion, driven by strong demand for Super Duty trucks and Transit vans [9] - The company is focusing on software and service subscriptions as potential growth drivers moving forward [9] Liquidity and Dividends - Ford ended 2024 with $47 billion in liquidity, including $28 billion in cash, supporting its Ford+ strategy and cost-cutting initiatives [11] - The company offers a dividend yield of over 6%, significantly higher than the S&P 500's average of 1.31%, and plans to return 40-50% of free cash flow to investors [11][13] Market Challenges - Ford faces challenges from proposed 25% tariffs on Mexican and Canadian imports, which could increase costs and disrupt operations [14] - The company anticipates a steep decline in first-quarter 2025 adjusted EBIT, projecting it to break even compared to $2.7 billion in the first quarter of 2024 [15] - Full-year adjusted EBIT is forecasted to be between $7-$8.5 billion, down from $10.2 billion in 2024, with rising warranty costs and incentives further pressuring margins [15] Future Outlook - The Zacks Consensus Estimate indicates a decline in 2025 sales and EPS by 4% and 22%, respectively, but anticipates growth in 2026 [17] - Despite restructuring efforts and strong performance in Ford Pro, near-term headwinds such as weak demand and rising competition are expected to impact profitability [19]