Operating Leases

12 Months Ended

Dec. 31, 2024

Property, Plant, and Equipment, Lessor Asset under Operating Lease [Abstract]

Operating Leases Our portfolio of leases primarily consists of real estate office space, manufacturing and warehousing facilities, land and equipment. Certain leases contain escalation clauses and renewal or purchase options, and generally our leases have no residual value guarantees or material covenants. We exclude leases with a term of one year or less from our balance sheet, and do not separate non-lease components from our real estate leases.

Rent expense under operating leases was $369 million, $346 million and $317 million in the years ended December 31, 2024, 2023 and 2022. Variable lease costs were insignificant in the years ended December 31, 2024, 2023 and 2022. At December 31, 2024 and 2023, operating lease right of use assets in Other assets were $919 million and $979 million, operating lease liabilities in Accrued liabilities were $254 million and $264 million and non-current operating lease liabilities in Other liabilities were $961 million and $907 million. Operating lease right of use assets obtained in exchange for lease obligations were $368 million and $225 million in the years ended December 31, 2024 and 2023. Our undiscounted future lease obligations related to operating leases having initial terms in excess of one year are $290 million, $255 million, $209 million, $183 million, $156 million and $296 million for the years 2025, 2026, 2027, 2028, 2029 and thereafter, with imputed interest of $174 million as of December 31, 2024. The weighted-average discount rate was 4.6% and 4.3% and the weighted-average remaining lease term was 5.9 years and 6.0 years at December 31, 2024 and 2023. Payments for operating leases included in Net cash provided by (used in) operating activities were $416 million, $359 million and $314 million in the years ended December 31, 2024, 2023 and 2022. Lease agreements that have not yet commenced were $746 million at December 31, 2024.

Equipment on Operating Leases Equipment on operating leases primarily consists of leases to retail customers of GM Financial.


	December 31, 2024		December 31, 2023
Equipment on operating leases	$	38,187	$	37,921
Less: accumulated depreciation	(6,601)		(7,338)
Equipment on operating leases, net	$	31,586	$	30,582

At December 31, 2024, the estimated residual value of our leased assets at the end of the lease term was $23.5 billion.

Depreciation expense related to Equipment on operating leases, net was $4.8 billion, $4.9 billion and $4.8 billion in the years ended December 31, 2024, 2023 and 2022.

The following table summarizes lease payments due to GM Financial on leases to retail customers:


	Years Ending December 31,
	2025		2026		2027		2028		2029		Total
Lease receipts under operating leases	$	5,195	$	3,371	$	1,257	$	135	$	1	$	9,959