8chan/8kun QResearch Posts (5)
#24850554 at 2026-07-21 12:08:25 (UTC+1)
Q Research General #30342: The Mission Never Ends Edition
GM beats on earnings, raises guidance amid 'resilient' consumer, pricing
-General Motors beat its second-quarter earnings expectations.
-The Detroit automaker also raised its guidance.
-GM executives will host an earnings conference call at 8:30 a.m. ET.
DETROIT - General Motors raised several key 2026 earnings forecasts Tuesday after beating Wall Street's second-quarter expectations as the automaker's North American operations continue to drive its results.
The Detroit automaker attributed its guidance change to consistent vehicles transaction prices, lower warranty costs and narrowing all-electric vehicle losses as it wraps up a multibillion-dollar pullback in EVs.
"These results are very consistent with what we've been doing for the last several years," GM CFO Paul Jacobson said Tuesday during CNBC's "Squawk Box." "Our first half earnings per share is 25% higher than the first half at any time in our history."
Jacobson said GM's "momentum is palpable," while referring to the company's stock as a "bargain" at roughly $75 a share, up more than 40% compared to a year ago. He described the company's consumer demand as "resilient."
Here's how the company performed in the first quarter, compared with average estimates compiled by LSEG:
-Earnings per share: $3.57 adjusted vs. $3.20 expected
-Revenue: $48.03 billion vs. $47.01 billion expected
The raised guidance includes full-year adjusted earnings before interest and taxes of between $14 billion and $16 billion, or $12 and $14 adjusted EPS, up from previous guidance of $13.5 billion to $15.5 billion, or $11.50 and $13.50 adjusted EPS, previously. It also raised its expectations for adjusted automotive free cash flow to $9.5 billion to $11.5 billion, up from $9 billion to $11 billion.
The Detroit automaker, however, lowered its expectations for net income attributable to stockholders to be between $8.4 billion and $9.8 billion, down from a previously lowered guidance of between $9.9 billion and $11.4 billion.
This is the second consecutive quarter GM has lowered its net income attributable to stockholders guidance while raising other forecasts. In April, GM altered its guidance to reflect a $500 million tariff rebate.
The company's North American operations led GM's results, which also include expanding its digital services revenue by 20% and improving its EV losses by between $1 billion to $1.5 billion this year compared with 2025.
"Our 8.6% EBIT-adjusted margin in North America was up 2.5 points from a year ago, and we continue to lower our warranty costs, reduce EV losses, and increase operating efficiency. In addition, GM International, inclusive of our China joint ventures, was profitable," GM CEO and Chair Mary Barra said in a letter to shareholders.
Barra also noted consistent vehicle pricing and a "very attractive lineup" of pickup trucks and SUVs contributed to its results. The automaker said its average vehicle transaction price was $52,000 during the quarter as it remains disciplined regarding incentives.
The company said Tuesday it has "substantially" completed material charges involving its pullback in all-electric vehicles, which have included $10.9 billion in EV-related charges since the second half of last year.
GM on Tuesday said it has paid $4.5 billion of an expected $7.2 billion in cash charges related to its EV pullback through the second quarter.
The company's second-quarter results included net income attributable to stockholders of $1.3 billion, down 31.1% compared to a year earlier, while adjusted earnings increased about 30% to more than $3.9 billion, or an 8.2% adjusted profit margin. Its revenue was up 1.9% from a year earlier.
GM's 2025 second-quarter results included $47.12 billion in revenue, net income attributable to stockholders of $1.9 billion, and adjusted earnings before interest and taxes of $3.04 billion.
https://www.cnbc.com/2026/07/21/general-motors-gm-earnings-q2-2026.html
#23157702 at 2025-06-11 05:14:13 (UTC+1)
Q Research General #28240: Le Buckle Up Edition
GM to invest $4 billion in U.S. plants amid tariffs for Mexican-produced vehicles
-GM plans to invest $4 billion in several American plants, including adding production of two popular Chevrolet vehicles that are currently built in Mexico.
-The Detroit automaker announced the plans Tuesday, as there have been few indications of progress in trade talks between the Trump administration and Mexican leaders.
-The investment and moves will likely be hailed as a win for Trump's policies and automotive tariffs, which took effect for imported vehicles in April and many auto parts in May.
DETROIT - General Motors
plans to invest $4 billion in three American assembly plants, including moving or increasing production of two Mexican-produced vehicles to U.S. plants.
The Detroit automaker announced the plans Tuesday, as there have been few indications of progress in trade talks between the Trump administration and Mexican leaders. Earlier this year, President Donald Trump implemented 25% tariffs on imported vehicles and 25% tariffs on many auto parts imported into the U.S.
GM said the investment will add assembly of the gas-powered Chevrolet Blazer and Chevrolet Equinox that are currently produced in Mexico to two other plants in the U.S. and convert a large idled plant in Michigan - formerly expected to build all-electric trucks - to make gas-powered SUVs and trucks in 2027.
GM declined to discuss the future of the Ramos Arizpe plant that currently produces the vehicles in Mexico. A source familiar with the plans said production of the Blazer will fully move to the U.S. from Mexico, while production of the Equinox is expected to be additive to the Mexican plant, which also will produce for other markets.
The investment and moves will likely be hailed as a win for Trump's policies and automotive tariffs, which took effect for imported vehicles in April and many auto parts in May.
"We believe the future of transportation will be driven by American innovation and manufacturing expertise," said GM CEO Mary Barra said in a release. "Today's announcement demonstrates our ongoing commitment to build vehicles in the U.S and to support American jobs. We're focused on giving customers choice and offering a broad range of vehicles they love."
The new investment, which will take place through 2027, will give GM the ability to assemble more than two million vehicles per year in the U.S., according to the automaker.
GM said its Fairfax Assembly in Kansas will add production of the gas-powered Chevrolet Equinox beginning in mid-2027. The gas-powered Chevrolet Blazer will be added to Spring Hill Assembly in Tennessee starting in 2027, according to the company.
The Detroit automaker said its 2025 capital spending guidance is unchanged at between $10 billion and $11 billion. But it expects annual capital spending in the range of between $10 billion and $12 billion through 2027.
GM has been analyzing its North American production footprint for months amid the tariffs, with executives saying they weren't going to make any decisions - instead taking a "wait and see" approach - until they got further clarity on the regulatory environment, including the auto levies.
GM CFO Paul Jacobson said late last month during a Bernstein investor event that the tariffs wouldn't probably be "as bad as the market reacted to." He said potential trade deals with other countries and the automaker's ability to mitigate some costs of the tariffs were promising signs.
The Detroit automaker previously said it expected to be able to offset between 30% and 50% of the North American tariffs without deploying any capital in the short-term.
GM CEO Mary Barra during the Bernstein event said the company is "going to see us be very resilient and, again, strengthen our business as we move forward - in some cases, seize opportunities where the vehicles are so successful."
Those opportunities now appear to include pulling back additional spending on electric vehicles. The Orion Assembly plant in suburban Detroit, which will be retooled for gas products, was expected to be its second EV-exclusive plant in the U.S.
https://www.cnbc.com/2025/06/10/gm-to-invest-4-billion-in-us-manufacturing-plants-amid-tariffs.html
#21006016 at 2024-06-11 18:39:58 (UTC+1)
Q Research General #25760: Melania Tuesday Edition
GM approves new $6B stock buyback on strong demand for gas-powered vehicles
General Motors said Tuesday its board approved a fresh repurchase authorization to buy back up to $6 billion worth of the automaker's common stock, a month after beating Wall Street estimates in the first quarter on strong demand for gas-powered vehicles. We are very focused on the profitability of our ICE [internal combustion engine] business, we're growing and improving the profitability of our EV [electric vehicle] business and deploying our capital efficiently," GM executive vice president and CFO Paul Jacobson said in a statement announcing the move. "This allows us to continue returning cash to shareholders." GM previously announced a $10 billion share buyback in November, and said Tuesday that roughly $1.4 billion in capacity remains under that agreement. In the first quarter, the company repurchased $300 million shares, and plans to buy back the remaining $1.1 billion by the end of the second quarter.
The Detroit automaker did not give a time frame for the latest buyback but said the move will allow it to "opportunistically repurchase shares" after the completion of the existing plan. Shares of the company, which has a market capitalization of nearly $54 billion, were up 1.8% in early trading. They have risen about 50% since GM announced the $10 billion stock buyback in late November.
https://www.foxbusiness.com/markets/gm-approves-new-6-billion-stock-buyback-strong-demand-gas-powered-vehicles
#19792848 at 2023-10-24 13:31:24 (UTC+1)
Q Research General #24303: Tuesday Morning Melania Edition
GM withdraws 2023 guidance as UAW strike costs soar
(Additional comments and edited for spinage)
(This is complete rubbish....have you seen new car sales lately? All mfgs were going to have to cut production no matter wut however the fuggen UAW delivered an instant excuse on a golden diamond encrusted platter for them to blame it on)
General Motors (GM.N) on Tuesday withdrew its previous guidance for 2023 profits and near-term electric vehicle production as costs related to the United Auto Workers strikes jumped to $200 million a week during October.
GM's third-quarter net income fell 7.3% to $3.06 billion, while revenue rose 5.4% to $44.1 billion. The adjusted earnings per share tracked by analysts were $2.28, ahead of Wall Street expectations,and up from $2.25 a year ago because of the effect of share buybacks.
GM shares were up 1.6% in premarket trading after the stronger-than-expected profit.
The rising toll of the UAW strikes, the outlook for higher labor costs once a new contract is reached, rising warranty expenses and an uncertain macro-economic outlook have forced GM to abandon previous targets for full-year financial performance that it had lifted in July. Well Fargo analyst Colin Langan said the strike impact was not surprising. The UAW walkouts cost the company $200 million during the third quarter and $600 million so far in the fourth quarter, GM Chief Financial Officer Paul Jacobson said in a briefing with reporters.
Strike costs are now running at $200 million a week, Jacobson said. He would not discuss the potential impact should UAW President Shawn Fain order new walkouts at GM's most profitable North American factories such as the Arlington, Texas, plant that builds Cadillac Escalades and Chevrolet Suburbans, or the Flint, Michigan, heavy duty pickup assembly plant.
As the pace of EV sales growth has slowed in North America and even industry leader Tesla (TSLA.O) is expressing caution over the pace of its expansion, GM is shifting its EV strategy in the region.
The Detroit automaker said its EV strategy going forward will be to match "supply with demand to maintain strong pricing while taking immediate steps to enhance the profitability of our EV portfolio."
GM is abandoning a goal of building 400,000 EVs from 2022 through mid-2024, Jacobson said.
Overall, GM said profits for the quarter were pulled down by $1.5 billion because of higher costs and the impact of selling more EVs, the company said. Unlike rival Ford, GM does not break out losses from its EV operations. Jacobson said GM executives are concerned about rising interest rates as well as the conflict in the Middle East and whether that could impact consumer behavior. But he did not echo Tesla CEO Elon Musk's pessimism about the impact of rising interest rates on consumer demand.(lost track of how many price cuts Tesla-and if you bought one earlier this year you weren't reading the 'tea leaves'-has had but at least he is honest about that)
https://www.reuters.com/business/autos-transportation/gm-withdraws-2023-guidance-uaw-strike-costs-soar-2023-10-24/
#8862447 at 2020-04-20 16:00:26 (UTC+1)
Q Research General #11345: Monday Morning Melania Edition
United Reports $2.1BN Loss As Airlines Brace To Fire 100,000 Once Bailout Loans Expire
United Airlines confirmed the carnage hitting US airlines today when it reported a $2.1 billion loss for first quarter as the coronavirus pandemic drove travel demand down to the lowest level in decades.
United said revenue plunged 17% in the first quarter from a year ago to $8 billion which as a reminder is largely due to the collapse in traffic in just the second half of March, so one can imagine what happens in all of Q2 should the situation fail to normalize.
With revenues unlikely to return any time soon even as losses mount, the Chicago-based airline said it applied for up to $4.5 billion in government loans on top of about $5 billion federal payroll grants and loans it also expects to receive to weather the crisis. As CNBC details, United was the first major U.S. airline to detail the results - while they are preliminary - of the virus on its results in the first three months of the year. The disease and harsh measures to stop it from spreading such as stay-at-home orders has ravaged air travel demand and and prompted carriers to slash most of their flights.
And as US airlines face a bleak future of depressed traffic and volatile revenue well into 2021, they are preparing to cut costs to the bone. As Bloomberg reports, the next big crunch date for airlines is this fall, when billions of dollars in government assistance will come to an end. As a result, key carriers including Delta and United have already begun openly contemplating how they will shrink operations, and one analyst expects that as many as 105,000 jobs could be lost industrywide.
"Without a quick improvement in demand, we could see the airlines look to shed 800 to 1,000 aircraft, which could result in a reduction of 95,000 to 105,000 airline jobs," Cowen analyst Helane Becker wrote in an April 13 client note. "The rightsizing of the fleet and work force is an unfortunate truth."
"The challenging economic outlook means we have some tough decisions ahead as we plan for our airline, and our overall workforce, to be smaller than it is today," United's chief executive and president, Oscar Munoz and Scott Kirby, wrote in an April 15 employee memo.
As a reminder, under the terms of the $50 billion government bailout, airlines are barred from slashing jobs through Sept. 30 but they're already warning employees that cuts are almost inevitable. The planned contraction reflects a widespread belief that 2020 revenues could shrink to levels not seen in years. Recovery will probably be a long-term affair, said Cowen & Co., which predicted that ticket sales may not rebound to pre-pandemic levels until 2025. Unable to cut jobs or salaries while receiving grants to cover payroll, airlines will staff their typical summer peak largely as usual, even with millions of fewer travelers. But come fall, it will get ugly for employees unless the government bailout is rolled into 2021. "We're going to be smaller coming out of this," Delta CFO Paul Jacobson told employees last month. "Certainly quite a bit smaller than when we went into it."
The upcoming mass layoffs will add to 87,000 employees - more than one quarter of the Big Three airlines' workforce - who have taken voluntary leaves, early retirement or reduced work hours in the past two months.
Carriers face "the worst cash crisis in the history of flight," with booked revenues down 103% year over year, according to industry lobby Airlines for America. Domestic flights are averaging just 10 passengers while international flights average 24, the group said. Once laid off, those employees have years of unemployment to look forward to.
While airlines foresee an uptick in bargain-hunting leisure travelers this summer, rich travelers will take longer to win back. Corporations will be reluctant to assume the liability of putting employees back in the sky with Covid-19 still in wide circulation. Plus, many companies have learned to function via video conference-which is a lot cheaper than a business class seat.
According to Bloomberg, the airline industry generally has taken three to four years to fully recover from major disruptions, said Samuel Engel, head of the aviation group at consultant ICF. Economic downturns often accelerate trends that were already underway, like pulling down marginal routes and, more recently, the decline in demand for large aircraft, he said.
"The last couple of years, you have seen extensions of flights toward end of day and early morning, and growth of long, thin routes to secondary cities in Asia," he said. "Those types of things get pulled back, and some don't reappear until quite late in the economic cycle."
https://www.zerohedge.com/markets/united-reports-21bn-loss-airlines-brace-fire-100000-once-bailout-loans-expire