GM Raises 2023 Guidance
Has strong Q1 on robust sales, cost-cutting.
CEO Mary Barra said in a letter to shareholders that GM is now second in the U.S electric-vehicle market.
IMAGE: General Motors
General Motors, buoyed by first-quarter earnings that beat Wall Street forecasts, raised its full-year guidance on a foundation of strong sales and expense cuts, including employee buyouts.
The Detroit-based automaker reported $40 billion in first-quarter revenue, up 11% year-over-year and eclipsing the forecasted $38.96 billion. Adjusted pretax profit reached $3.8 billion, down from $4 billion year-over-year.
For 2023 overall, GM raised adjusted earnings forecast to $11 billion to $13 billion.
GM announced early this year that it will make $2 billion in structural cost reductions by the end of next year, including the employee buyouts. It has also been buying out some Buick dealers.
In highlighting upcoming “opportunities,” CEO Mary Barra said in a letter to shareholders that GM is now second in the U.S electric-vehicle market behind Tesla. She said it plans to make 400,000 electric vehicles from 2022 through the first half of 2024 and will grow its EV lineup. Meanwhile, it will stop making the Chevrolet Bolt this year, though the model had a third consecutive record quarter.
Originally posted on Auto Dealer Today
More Showroom
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Used Lots Getting the Business
Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.
Read More →
Used Market Stabilizes
The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.
Read More →
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →
My Mercedes in the U.S.
The German brand debuted its studio dealership concept for the first time in the states in Los Angeles, tapping Americans’ penchant for creative distinctions.
Read More →
Used Sales Hit Summer Drag
The vacation season, combined with high prices, has dented deliveries and added to inventories, though supply is still slim enough to keep listings elevated.
Read More →
California Launches EV Rebate Program
Participating automakers are matching the state's $13.5 million investment in new electric-vehicle rebates scheduled to take effect later this summer.
Read More →
OEM Poll Sees Industry Evolution
Kerrigan Advisors’ survey of automakers finds that tariffs, technology, network tightening and other factors are poised to reshape auto retail.
Read More →
The Trade-In Paradox
Retailing older cars with confidence in today’s market is a matter of establishing and following a clear process that can turn greater profit for auto dealers as they aim to meet used-unit hunger.
Read More →
Focus on Vehicle Cabins
The market for interior materials will grow in coming years as automakers look to meet consumer demand while staying competitive with changeups to sourcing and included features.
Read More →