General Motors (GM) Q1 2022 results


A General Motors sign is seen during an event on January 25, 2022 in Lansing, Michigan. – General Motors will create 4,000 new jobs and retain 1,000, and significantly increase manufacturing capacity for battery cells and electric trucks.

Jeff Kowalsky | AFP | Getty Images

DETROIT — Amid rising costs and supply chain instability, General Motors reaffirmed its 2022 profit forecast despite reporting lower net income and margin than a year ago. one year old.

Here’s how GM did compared to what Wall Street expected based on average estimates compiled by Refinitiv.

  • Adjusted EPS: $2.09 vs $1.68, Refinitiv consensus estimate
  • Revenue: $35.98 billion vs. $37.01 billion, Refinitiv consensus estimate

GM reaffirmed its forecast for adjusted pretax profits of between $13 billion and $15 billion for the year, while lowering its net profit forecast from $9.4 billion to $10.8 billion to 9, $6 billion and $11.2 billion. Its profit margin in the first quarter was 8.2%, down from 9.3% a year earlier.

GM is among the first major automakers to report its first quarter results. Investors are watching the report closely as an indicator of production and supply chain issues in the automotive industry.

Evercore ISI analysts suggested that the company could suffer “a potential small reduction” in its high-end guidance due to higher costs and parts issues.

In addition to inflation and other macro factors, the global auto industry has been grappling with supply chain issues caused by the coronavirus pandemic for more than a year – in particular, chip supply. crucial semiconductors that are used in vehicles.

The ongoing war in Ukraine as well as recent factory closures in China due to Covid-19 outbreaks have further exacerbated the industry’s supply chain challenges.

Investors will also be looking for progress or updates on GM’s plans for autonomous and electric vehicles, including a planned investment of $35 billion in technologies through 2025. GM typically does not allocate these costs over a quarterly basis, although rival Ford Motor has promised to start doing so next year.

GM shares are down about 34% so far in 2022. Its market capitalization is about $55 billion, down from more than $90 billion at the start of the year.

This is breaking news. Please check for updates.


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