General Motors’ third quarter results exceeded analyst expectations, sending the company’s stock market valuation on a sharp rise.
GM raised its guidance for adjusted automotive free cash flow and earnings per share this year.
GM reported third quarter 2024 revenue of $48.8 billion (+10.5% on last year), net income attributable to stockholders of $3.1 billion, and EBIT-adjusted of $4.1 billion (+15.5% on last year).
In a letter to investors, CEO Mary Barra said: “In the third quarter, we grew US retail market share with above-average pricing, well-managed inventories and below-average incentives. In China, sales improved from the second quarter, and dealer inventory fell sharply. In addition, we remain on track to reach our 2024 EV production and profitability targets.”
She added that GM’s EV performance - GM has previously said it is close to being profitable on EVs - is a “function of our investments in a dedicated EV platform, US battery cell manufacturing and flexible assembly capacity. Most of our competitors lack these advantages. And no one can match the depth and breadth of our strategic EV portfolio.”
General Motors says it is ‘approaching EV profitability’
GM’s positive financial results came in spite of lower sales in the US and losses in China. However, transaction prices in the US for GM trucks stayed high.
