Auto maker posts 37% jump in quarterly profit!
While warning battery-production challenges could slow electric-vehicle rollout.
GM’s quarterly result showed that its traditional business has performed well despite higher borrowing costs and recessionary worries.
Tweet on GM earning report by Reuters
Watch: Investors cheered a solid third quarter at General Motors as the automaker's performance and confidence tamped down growing fears of a global recession https://t.co/meZ4uw3Xmu pic.twitter.com/oewGfGGWUQ
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News on earning quarterly jumps by GM
GM on Tuesday revised its forecast for EV sales in North America through 2023, following an upbeat third-quarter earnings report in which the auto maker posted a 37% jump in net income, handily beating analysts’ expectations.
A big increase in deliveries of pricey pickup trucks and SUVs drove the results, and executives expressed confidence that demand remains strong through mounting economic challenges.
Still, the tamped-down outlook for EV sales comes as GM tries to show investors that it can emerge as a contender in the growing electric-vehicle market.
GM’s quarterly results showed that its traditional business has performed well so far despite the higher borrowing costs and recessionary worries that historically hurt car sales.
GM reported a $3.3 billion profit, driven by outsize sales of big pickup trucks and SUVs, the company’s biggest moneymakers. Revenue jumped 56% to a quarterly record $41.9 billion, as the auto maker worked through a backlog of vehicles that it hadn’t been able to ship the prior quarter because of parts shortages.
GM reaffirmed its full-year profit outlook of $13 billion to $15 billion in adjusted pretax profit. Third-quarter net pretax profit of $4.3 billion amounted to $2.25 per share, beating the average estimate of $1.88 according to analysts polled by FactSet.
*GM shares rose about 3% in early trading Tuesday.