GM Profit Hit by Lower North American Earnings
General Motors' net income fell 14 percent to $865 million in the first quarter, weighed down by losses in Europe and weaker earnings in North America.
General Motors' net income fell 14 percent to $865 million in the first quarter, weighed down by losses in Europe and weaker earnings in North America.
General Motors' earnings and market share were down in 2012 despite a better year for car sales in the U.S., a combination that soured Wall Street on the automaker's fourth quarter and year-end earnings report.
General Motors on Wednesday reported a third-quarter profit that exceeded analyst expectations by a wide margin. GM's profit was less than it turned in a year ago, with earnings hurt by ongoing losses in Europe. But elsewhere, its business is showing strong signs for the future.
In its second quarter, General Motors beat analysts' estimates with a profit of $1.5 billion, as losses in its troubled European division were less than many experts had predicted. That wasn't necessarily good news, though.
Thanks to strong new products, hard work, and the American taxpayer, GM continued its profitable ways in the first quarter. The world's largest automaker reported a profit of $1 billion on the strength of its operations in the U.S. and China.
The U.S. automaters's first-quarter net income totaled raced to $1.77 per share -- one of its best performances since the SUV boom in the early 2000s. It was GM's fifth straight quarterly profit since late 2009, the year it emerged from bankruptcy.
Or will it disappoint? Investors -- and taxpayers -- will be watching on Thursday, when GM posts its latest earnings. Despite analyst expectations of a full-year profit, the automaker has warned that fourth-quarter results will fall "significantly" from previous periods.
With just days to go before its anticipated initial public offering of stock, General Motors reported Wednesday that it earned $2 billion in the third quarter, its most profitable this year.
The latest rumors have been that GM would file an S-1 with the Securities and Exchange Commission as a preparation for an IPO. And it could be that the company is looking to raise $12 billion to $16 billion.
This is its second straight quarterly profit as it keeps gaining since emerging from bankruptcy. GM's best results were in North America.
Three months after turning in its first profit since bankruptcy, GM is expected to report even bigger profits during the second quarter when it releases its latest results on Thursday.










