General Motors Co raised its forecast for full-year profits after reporting a record second quarter profit that handily beat Wall Street expectations.

The world's third-largest automaker said it expects adjusted earnings before interest and taxes of US$5.50 to US$6.00 per share for 2016, up from a previous expectation of US$5.25 to US$5.75 per share.

GM said second quarter net income rose to US$2.87 billion, or US$1.81 a share, up from US$1.1 billion, or 67 cents a share, a year ago.

More than 90 per cent of the company's pretax profits came from North America, where profit margins rose to 12.1 per cent from 10.5 per cent a year before, driven by demand for pickup trucks and large sport utility vehicles.

GM also reported its first quarterly profit in Europe in five years, but warned that currency and market disruptions caused by Britain's decision to quit the European Union could slash US$400 million from second-half results in Europe.