Good riddance?
General Motors Co. (NYSE: GM) today announced Q3 performance in all operating segments with good results in North America and China, some improvement in South America, continued growth of GM Financial and cost cutting. GM EPS-diluted were $0.08 and EPS (diluted-adjusted) were $1.32, from continuing operations. GM Financial – essentially GMAC re-established post-bankruptcy – set record revenues of $3.2 billion.
GM posted its first profitable quarter in all business segments, including South America, since Q4 2014. However, income from continuing operations was hurt by a $2.3 billion non-cash charge for deferred tax assets that are no longer realizable due to Opel/Vauxhall sale. In total the Opel/Vauxhaul sale cost GM stockholders $5.4 billion.
Total GM global sales at 7,004,092 were off -2.2%. At this point it’s really treading water as its stock price shows.
- GM delivered 781,056 total vehicles in the third quarter in the United States. Results were led by a 25% increase in retail crossover sales, the best third-quarter performance ever for these vehicles. GM’s U.S. daily rental sales were under 10% of total vehicle sales for the second consecutive quarter.
- In China vehicles set a third-quarter record at 982,311, up 12.3% versus the third quarter of 2016. Strong sales of Baojun (up 57%), Cadillac (up 42%), Chevrolet (up 17%) and Buick (up 7%) led the way and helped GM China gain market share in the quarter.
- South America delivered 179,42 vehicles in the quarter, up 17.6%, compared to industry growth of 16.%.
- Now dissolved GM Europe, which was sold to PSA peddled 83,183 vehicles (off 190,970 at -69.7%).
