General Motors Company Earnings Top Estimates, Sales Miss

General Motors Company (NYSE:GM) released its latest earnings report before opening bell this morning, posting earnings of 97 cents per share, excluding items, on revenue of $39.3 billion. Analysts had been expecting earnings of 95 cents per share on $39.5 billion in revenue.

Key metrics from General Motors’ earnings report

Reported earnings per share were 81 cents. General Motors Company (NYSE:GM)¬†reported a net loss of 16 cents per share due to flood damage at its Michigan technical center and “long-lived asset impairments in Russia.” In the same quarter last year, reported earnings were 45 cents per share, including special items of 51 cents per share.

Adjusted EBIT was $2.3 billion for the quarter, compared to $2.6 billion last year. Net revenue was $39.2 billion this year, compared to $39 billion in last year’s third quarter.

General Motors’s earnings by segment

General Motors Company (NYSE:GM) reported adjusted EBIT of $2.5 billion in North America, which was slightly ahead of last year’s $2.2 billion. The company’s margin in North America was strong, at 9.5%. In Europe, the automaker recorded an adjusted EBIT loss of $.4 billion, including restructuring costs. In the same quarter last year, GM reported an adjusted EBIT loss of $.2 billion.

The automaker’s International Operations saw adjusted EBIT of $.3 billion, which was flat with last year. In South America, GM was break even, compared to adjusted EBIT of $.3 billion last year. GM Financial’s EBIT was $.2 billion, which was flat with last year.

“Strong global sales and growing margins in North America and China helped GM deliver very solid third quarter results,” CEO Mary Barra said in a statement this morning. “Despite industry challenges in Russia and South America, our earnings were on plan as we continue to executive our customer-focused strategy.”

GM’s new vehicles

During the current quarter, GM is launching the new GMC Canyon and Chevy Colorado pickup trucks in the U.S. Other launches include the Cadillac ATS-L, the Buick Envision and Chevy Cruze in China and in Europe, the ADAM ROCKS and the Opel Corsa.

The automaker also introduced 4G-LTE mobile broadband in 33 of its vehicles this year, which is a higher number than the rest of the industry combined. More than 12 more models will have it by the end of next year.



About the Author

Michelle Jones
Michelle Jones was a television news producer for eight years. She produced the morning news programs for the NBC affiliates in Evansville, Indiana and Huntsville, Alabama and spent a short time at the CBS affiliate in Huntsville. She has experience as a writer and public relations expert for a wide variety of businesses. Michelle has been with ValueWalk since 2012 and is now our editor-in-chief. Email her at Mjones@valuewalk.com.