02:06 PM EDT, 07/23/2024 (MT Newswires) -- General Motors' ( GM ) shares declined intraday Tuesday as the Detroit automaker delayed the Buick brand's first electric vehicle and the reopening of an electric truck battery plant in the US.

The decision to defer the Buick EV, which had been planned for this year, is part of the company's strategy to make sure it has "a balanced approach" as the market develops, Chief Executive Mary Barra said on a conference call discussing GM's second-quarter financial results, according to a Capital IQ transcript.

"As excited as we are about our portfolio, we are committed to growing responsibly and profitably in any demand environment," Barra said. "Over the next (three) years, third-party forecasters now see the EV market growing steadily, but more slowly than it did over the last few years. As a result, we are adjusting our spending plans to make sure we're capital efficient and moving in lockstep with customers."

GM is working on commercial agreements that would grant its customers access to Tesla's (TSLA) charging network, according to Barra. The Ionna fast-charging venture between several major automakers is expected to bring its first chargers online before the end of the year, she added.

GM will now reopen its Orion assembly plant in Michigan as a battery electric truck facility in the middle of 2026, which Barra said was six months later than the company's plan heading into the year. "We're confident that we can meet customer demand for standout EV trucks in the interim by leveraging the production capability and flexibility we have in Factory Zero."

GM shares were down 6.9% in Tuesday afternoon trade even as the company raised its full-year earnings outlook after delivering a second-quarter beat.

Adjusted earnings jumped to $3.06 a share for the quarter through June 30 from $1.91 a year earlier, while revenue rose 7.2% to $47.97 billion, topping Wall Street's views for $2.70 and $45.32 billion, respectively.

Chief Financial Officer Paul Jacobson attributed the results to "ongoing strong performance" from the company's internal combustion engine business and stable pricing. "Pricing has remained relatively consistent thus far into July," Jacobson told analysts.

For the full year, GM now projects adjusted EPS at $9.50 to $10.50, up from its prior range of $9 to $10 and compared with the Street's $9.78 view. The company expects EV volumes to build sequentially every quarter to achieve its full-year target of 200,000 to 250,000 units, Jacobson said on the call. GM is on track to achieve $2 billion of net fixed cost savings by the end of this year, he added.

In China, the company reported a loss in the second quarter, contrary to its expectations to return to profitability, Barra told analysts. "We expect the rest of the year will remain challenging because the headwinds are not easy," she said. "We are working closely with our (joint venture) partner to restructure the business to make it profitable and sustainable."

Price: 46.23, Change: -3.33, Percent Change: -6.72