GM earnings beat lifts shares but U.S. strike weighs on outlook

  • 📰 Reuters
  • ⏱ Reading Time:
  • 44 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 97%

Business News News

Business Business Latest News,Business Business Headlines

GM posted a stronger-than-expected quarterly profit on robust U.S. demand for its pickup trucks and SUVs, offsetting the $3-billion hit from a U.S. labor strike that led it to slash its earnings forecast For more business news, follow ReutersBiz

DETROIT - General Motors Co on Tuesday posted a stronger-than-expected quarterly profit on robust U.S. demand for its lucrative pickup trucks and SUVs, offsetting the $3-billion hit from a U.S. labor strike that led it to slash its earnings forecast.

Last Friday, the 48,000 United Auto Workers union members at GM ratified a new four-year labor deal with the Detroit company, ending a 40-day strike. RBC Capital Markets analyst Joseph Spak in a research note called the deal’s financial impact “manageable.” Virtually all of the pre-tax profits came from its North American business and its captive finance arm.

The China Association of Automobile Manufacturers expects a 5% decline in industry sales in 2019, then contracting or growing slowly over the next three years. The No. 1 U.S. automaker said the full-year impact of the strike would be around $2 per share, or around $3 billion. GM also cut its projected 2019 capital expenditures to around $7.5 billion from its previous outlook of $8 billion to $9 billion. Suryadevara said no plans were cut and the lower spend was due to operating efficiencies.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Biz Mitt Romney wanted to sell this company off for parts when he ran for president…

Joke

MMGA - Making Mexico Great Again!

Biz ما فيش سيارة هدية 🤦‍♂️

Biz Good, so they can share the wealth with their employees.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stocks making the biggest moves premarket: AT&T, Tiffany, Walgreens, Spotify, GM & moreThese are the stocks posting the largest moves before the bell.
Source: CNBC - 🏆 12. / 72 Read more »

GM slated to report earnings before the bellAnalysts will be interested in finding out additional details about how a 40-day strike by the United Auto Workers impacted the company's third and fourth quarters and whether or not it was enough for GM to change its outlook for the year.
Source: CNBC - 🏆 12. / 72 Read more »