logo
Plus   Neg
Share
Email

GM Turns To Profit In Q4; Results Beat Estimates

generalmotors-feb06-lt.jpg

General Motors Co. (GM) on Wednesday reported a profit for the fourth quarter, compared to a loss in the year-ago period that included a non-cash charge related to the U.S. tax reform. Both revenue and adjusted earnings per share for the quarter beat analysts' estimates. The automaker's shares are rising almost 4 percent in pre-market activity.

According to GM, the latest quarter's results were led by strong performance in GM North America, including strong pricing for GM's all-new full-size pickup trucks - the Chevrolet Silverado and GMC Sierra.

Fourth-quarter net income attributable to GM common stockholders was $2.01 billion or $1.40 per share, compared to net loss of $5.17 billion or $3.65 per share in the year-ago period.

The year-ago period's results include a non-cash charge related to U.S. tax reform of $7.3 billion.

Excluding items, adjusted earnings for the quarter were $1.43 per share, compared to $1.65 per share last year. On average, analysts polled by Thomson Reuters expected the company to report earnings of $1.22 per share. Analysts' estimates typically exclude special items.

Net sales and revenue for the quarter increased 1.8 percent to $38.40 billion from $37.72 billion in the year-ago period. Wall Street expected revenues of $36.48 billion.

GM's adjusted earnings before interest and taxes or adjusted EBIT decreased 8.3 percent to $2.83 billion from $3.09 billion last year.

In North America, GM reported adjusted EBIT of $3.04 billion, up from $2.88 billion in the year-ago period, reflecting the strength of the company's full-size truck franchise and ongoing cost discipline that helped offset commodity headwinds and downtime volume impact.

Through December 31, 2018, GM sold 8.4 million vehicles globally, down 12.7 percent from the prior year.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
U.S. President Donald Trump said he discussed with Apple Inc.'s CEO Tim Cook about the impact of the U.S. tariffs on goods imported from China as well as the competition for Apple from South Korea's Samsung Electronics Co. Cook reportedly warned Trump that the tariffs on Chinese imports would hurt Apple's business as the tech giant relies heavily on manufacturing in China. Just Egg, a plant-based egg alternative, will be available in 2,100 stores owned by grocery chain Kroger Co. later this month. The product launch comes as plant-based meat and egg alternatives gain traction in the country. Just Egg, a product of California-based food technology company Just Inc., will be available at Kroger-owned stores, including Kroger, Fred Meyer and Ralphs. Boeing has delivered the first 787-10 Dreamliner to Vietnam Airlines, the flag carrier of Vietnam, as part of the eight 787-10 Dreamliner airplanes to be delivered on lease through Air Lease. Vietnam Airlines said the 787-10 Dreamliner, claimed by Boeing to be the most fuel-efficient twin-aisle airplane in the industry, will help it raise the customer experience on the Hanoi to Ho Chi Minh route.
Follow RTT