The GM logo shows at the facade of the General Motors in Detroit on March 16, 2021.
Rebecca Cook | Reuters
Detroit – General Motors They beat the expectations of the top and bottom of Wall Street in the fourth quarter, while the prediction continued strong results for 2025.
Detroit car manufacturer believes that he can have another solid year despite slowing sales in the industry, restructuring his business in China and increased geopolitical and regulatory uncertainty in the United States, as President Donald Trump begins his second term.
GM -ovi 2025. Guidelines include Net income that can be attributed to shareholders in the amount of $ 11.2 billion up to $ 12.5 billion or $ 11 to $ 12 earnings per share; Adapted earnings before interest and tax (EBIT) from 13.7 billion up to $ 15.7 billion or EPS adapted to $ 11 to $ 12; and adapted car free cash flow between $ 11 billion and $ 13 billion.
GM financial guidelines in 2025 filled or exceeded many forecasts of analysts on Wall Street. The most important thing is that analysts expected an adapted earning of about $ 14 billion.
This is compared to the results of the custom EBIT of 2024 in the amount of US $ 14.9 billion or $ 10.60 adapted to EPSA’s net revenue that can be attributed to shareholders in the amount of $ 6 billion or $ 6.37 EPS -and. Adapted figures and $ 14 billion in custom -made Auto -Planst flow were records for car manufacturers, GM said.
GM CFO Paul Jacobson said the company’s 2025 guidelines do not take into account potential regulatory changes such as tariff into vehicle imports or tax reform.
Here’s how the company performed in the fourth quarter, compared to the average estimates compiled by LSEG:
- Earnings per share: $ 1,92 adjusted to $ 1.89
- Income: Estimated $ 47.7 billion in terms of $ 43.93 billion
Jacobson said that the effect of the company 2024 was “extraordinary”, citing growth in its EV -in traditional combustion business engines.
Net income of GM 2024. He interfered with a loss of approximately three billion dollars during the fourth quarter. Net income during the last three months of the year has included USD $ 5 billion special costs, such as $ 4 billion costs for restructuring noncash Related to his business in China and $ 500 million in decision -related costs to stop funding his business with Robotaxi cruise.
Last month, GM said he expected the restructuring of his joint investment with Saic Motor Corp. In China, costing more than $ 5 billion non-Cash charges and writing, most of which occurred during the fourth quarter.
GM revenue increased to $ 187.44 billion last year, which is 9.1% compared to 2023.
Region
GM -North American surgery continued their perennial trend of carrying car maker earnings. Its North American custom earnings increased by 18.1% compared to $ 2023 to $ 14.53 billion, equating 9.2% adapted to a profit margin.
International car manufacturer operations in Detroit – like South Korea, Brazil and the Middle East – reported on a custom earned of $ 303 million last year, which is 75% falling compared to 2023. from China It was a loss of $ 4.41 billion, mainly due to restructuring actions.
“In China, we have reported positive incomes from capital for the fourth quarter before the cost restructuring and take steps with our partner to improve ourselves from there,” said GM CEO Mary Barra in a letter to shareholders.
Jacobson reiterated that the company is expecting to restructure surgery without injecting more capital from the USA cinema.
Evs
In addition to his financial results, GM said he expects to continue to introduce new products to help their sale and earnings. These include electric vehicles, for which the company said that during the fourth quarter it reached targeted profitability on the production basis.
GM expects an improvement of $ 2 billion to $ 4 billion this year compared to 2024, based on wholesale quantities of about 300,000 EV. This would be approximately 59% increase of 189,000 units in 2024.
GM President Mark Reuss during the discovery of All-Electric 2025 Cadillac Escalade IQ on August 9, 2023 in New York.
Michael Wayland / Cnbc
“We think we can increase our demand EV,” Jacobson said. “We will continue to see how EV adoption is progressing at the age of 2025, but 300,000 is the assumption that we are based on being at a low end of two billion up to $ 4 billion in profit improvements.”
GM said he expects improvements in a scale, absorption of fixed costs and constant focus on reducing cells and vehicles to achieve improved earnings for EVS next year.
In addition to 2025, Jacobson said that GM would continue to seek opportunities to refund the value of the shareholders, as well as to pay the car debt of the company, including $ 1.75 billion that mature this year. He said that the company had withdrawn $ 750 million early in December, except that it completed shares buying to reduce its unspecified share number to below a billion until the end of the year.
For the entire US industry, Jacobson said GM expects new vehicles for vehicles this year to be relatively straight compared to more than 16 million vehicles. Detroit car manufacturer expects the prices of vehicles that have fallen from the record maximum in recent years, fall between 1% and 1.5%.
Regulatory uncertainty
Barra, in her shareholder letter, noted that the current “uncertainty about the regulations on trade, tax and environment could affect the job of a car manufacturer.
She said that the company was “proactive with congress and administration” about the importance of American production and “American leadership in advanced technologies”.
“It is clear that we share a lot of joint terrain and appreciate the dialogue,” said Barra, who spoke with Trump before his inauguration. “Whatever happened on these fronts, we have a wide and deep portfolio [internal combustion engine] Vehicles and EVs that are also a growing market share, and we will be torrential and execute as effectively as possible. “
GM previously said CNBC That Barr conversation with Trump was “friendly and productive.”
Trump talked about the implementation of 25% of Tariff on goods from Canada and Mexico, which could affect vehicles imported to the United States
Most of the main car manufacturers have factories in the United States, however, they still rely on imports from other countries, including Mexico, to satisfy US consumer demand.
This develops news. Please check updates.
