General Motors (NYSE: GM) today reported strong second-quarter 2023 revenue of $44.7 billion, net income attributable to stockholders of $2.6 billion and earnings [EBIT-adjusted] of $3.2 billion. GM delivered 1.4 million vehicles during Q2, many of them in premium truck and SUV segments. In the US, the Q2 Average Transaction Price (ATP) was $52,248, up $1890 Year-over-Year and $1600 compared to Q1 2023.
“The biggest driving force behind our financial results is customer demand for our vehicles, which have now led the U.S. industry in initial quality for two consecutive years. We have earned four consecutive quarters of higher retail market share in the U.S. versus a year ago with continued strong pricing and incentive discipline, we’re leading in both commercial and total fleet deliveries calendar year to date, and we’re growing profitably in international markets such as Brazil and Korea,” said CEO Mary Barra.
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“General Motors has made mind boggling profits over the last decade. GM’s recently announced quarterly earnings just set a post-bankruptcy record, but autoworkers and our communities have yet to be made whole for the sacrifices we’ve made since the Great Recession,” said UAW president Shawn Fain. “GM executives have closed 31 plants over the last 20 years and are now enriching themselves through joint venture battery plants that get billions from the federal government in taxpayer subsidies but pay poverty wages. It’s long past time for GM to pony up, end tiers, pay their employees competitive wages that keep up with the cost of living and provide everyone the ability to retire with dignity.”
GM also raised if full year outlook* to $12B-14B. The full-year EBIT-adjusted guidance is increased by $1 billion with adjusted automotive free cash flow guidance up $1.5 billion. GM now predicts earnings per share to be between $7.15 – $8.15. This is the second time GM has raised guidance this year. However, it assumes that GM successfully negotiate new labor agreements without work stoppages or strikes.
“We’re also spending less and lowering our capital spending guidance because we’re focusing on the most strategic internal combustion engine and EV programs, and our highest impact growth initiatives, including Cruise, BrightDrop and software-defined vehicles,” said Barra.
*GM Significantly Raises its full-year 2023 Outlook
- US GAAP net income attributable to stockholders of $9.3 billion-$10.7 billion, compared to the previous outlook of $8.4 billion-$9.9 billion.
- EBIT-adjusted of $12.0 billion-$14.0 billion, compared to the previous outlook of $11.0 billion-$13.0 billion.
- S. GAAP net automotive cash provided by operating activities of $18.0 billion-$21.0 billion, compared to the previous outlook of $16.5 billion-$20.5 billion.
- Adjusted automotive free cash flow of $7.0 billion-$9.0 billion, compared to the previous outlook of $5.5 billion-$7.5 billion
- Capital expenditures of $11 billion-$12 billion, compared to the previous outlook of $11 billion-$13 billion.
GM Posts Strong Q2 Results with $3.2B in Earnings
General Motors (NYSE: GM) today reported strong second-quarter 2023 revenue of $44.7 billion, net income attributable to stockholders of $2.6 billion and earnings [EBIT-adjusted] of $3.2 billion. GM delivered 1.4 million vehicles during Q2, many of them in premium truck and SUV segments. In the US, the Q2 Average Transaction Price (ATP) was $52,248, up $1890 Year-over-Year and $1600 compared to Q1 2023.
“The biggest driving force behind our financial results is customer demand for our vehicles, which have now led the U.S. industry in initial quality for two consecutive years. We have earned four consecutive quarters of higher retail market share in the U.S. versus a year ago with continued strong pricing and incentive discipline, we’re leading in both commercial and total fleet deliveries calendar year to date, and we’re growing profitably in international markets such as Brazil and Korea,” said CEO Mary Barra.
Click for more information.
“General Motors has made mind boggling profits over the last decade. GM’s recently announced quarterly earnings just set a post-bankruptcy record, but autoworkers and our communities have yet to be made whole for the sacrifices we’ve made since the Great Recession,” said UAW president Shawn Fain. “GM executives have closed 31 plants over the last 20 years and are now enriching themselves through joint venture battery plants that get billions from the federal government in taxpayer subsidies but pay poverty wages. It’s long past time for GM to pony up, end tiers, pay their employees competitive wages that keep up with the cost of living and provide everyone the ability to retire with dignity.”
GM also raised if full year outlook* to $12B-14B. The full-year EBIT-adjusted guidance is increased by $1 billion with adjusted automotive free cash flow guidance up $1.5 billion. GM now predicts earnings per share to be between $7.15 – $8.15. This is the second time GM has raised guidance this year. However, it assumes that GM successfully negotiate new labor agreements without work stoppages or strikes.
“We’re also spending less and lowering our capital spending guidance because we’re focusing on the most strategic internal combustion engine and EV programs, and our highest impact growth initiatives, including Cruise, BrightDrop and software-defined vehicles,” said Barra.
*GM Significantly Raises its full-year 2023 Outlook