Your #1 source for auto industry news and content

spot_img

GM surges Q4 earnings, prepares for another successful year

The automaker's more optimistic outlook is due to its belief that its major issues for 2023 are behind it.

Despite possible headwinds in the economy and sales, General Motors (GM) exceeded Wall Street’s projections for both its top and bottom lines in the fourth quarter and is predicting another successful year.

The automaker’s more optimistic outlook is due to its belief that its major issues for 2023 are behind it rather than an anticipated improvement in sales both domestically and internationally.

On January 30, the Detroit-based automaker said that its adjusted earnings before interest and taxes for the entire year reached $12.4 billion, surpassing GM’s November estimate of up to $12.7 billion. Additionally, GM estimates its adjusted EBIT to be between $12 billion and $14 billion for the current year. Less than the record $14.5 billion set in 2022.

CEO Mary Barra announced during a conference call with investors that GM plans to sell at least 250,000 EVs this year, reintroduce hybrids to its lineup, and save $2 billion in expenses. She said GM would still consider outside investment for its controversial Cruise self-driving project.

Moreover, GM expects to spend roughly $1 billion less on Cruise this year, estimating a $1.7 billion outflow from its EV business, and does not expect to face another strike, which cost $1.1 billion last year.

After a few setbacks, GM stated that EV production would pick up this year. The company is also moving forward by introducing new battery-powered models, such as all-electric versions of its full-size GMC Sierra Denali SUV and compact crossover Chevrolet Equinox.

Barra admitted in her letter that the slowdown in the pace of EV growth has created uncertainty. We think that our core models’ increased production will strengthen our competitive position throughout the year.” By late 2024, she continued that GM aspires to achieve “Variable profit positive” status for its EV lineup.

Stay up to date on exclusive content from CBT News by following us on Facebook, Twitter, Instagram and LinkedIn.

Don’t miss out! Subscribe to our free newsletter to receive all the latest news, insight and trends impacting the automotive industry.

CBT News is part of the JBF Business Media family.

spot_img
Jaelyn Campbell
Jaelyn Campbell
Jaelyn Campbell is a staff writer/reporter for CBT News. She is a recent honors cum laude graduate with a BFA in Mass Media from Valdosta State University. Jaelyn is an enthusiastic creator with more than four years of experience in corporate communications, editing, broadcasting, and writing. Her articles in The Spectator, her hometown newspaper, changed how people perceive virtual reality. She connects her readers to the facts while providing them a voice to understand the challenges of being an entrepreneur in the digital world.

Related Articles

spot_img

Manufacturers In This Article

More Manufacturer News

Latest Articles

From our Publishing Partners