General Motors Smashes Q4 Earnings Expectations, Raises 2025 Forecast
$GM
General Motors Co. (NYSE:GM) has once again proven its financial strength, exceeding Wall Street’s Q4 2024 earnings expectations and setting an optimistic outlook for 2025. The Detroit-based automotive giant reported $47.7 billion in revenue, an 11% year-over-year increase, surpassing the projected $44.46 billion. Additionally, earnings per share (EPS) climbed to $1.92, beating analysts’ expectations of $1.83, thanks to strategic cost management and operational efficiency.
For the entire fiscal year 2024, GM achieved $187.44 billion in total revenue, reflecting steady growth from $171.84 billion in 2023. However, net income dropped to $6 billion, down from $10.12 billion in the previous year. This decline stemmed from a $4 billion non-cash restructuring charge related to its China Joint Ventures and a $0.5 billion charge due to the discontinuation of its Cruise robotaxi business.
Looking forward, General Motors has revised its 2025 financial guidance upward, projecting a net profit between $11.2 billion and $12.5 billion, with an expected EPS of $11.00 to $12.00. This bullish outlook reflects cost reductions from the Cruise division and a more favorable North American policy landscape. Additionally, GM plans to invest between $10 billion and $11 billion in capital expenditures, prioritizing battery cell manufacturing and electric vehicle (EV) expansion.
GM remains laser-focused on dominating the EV market, increasing its electric vehicle sales as demand soars. The company’s aggressive EV rollout strategy aligns with its sustainability goals and growing consumer demand for cleaner transportation. Moreover, GM’s restructuring efforts in China aim to reclaim its competitive edge in the world’s largest automotive market.
General Motors’ latest earnings report cements its position as a global automotive leader with a clear strategy for long-term growth and market dominance. By scaling its EV portfolio, optimizing costs, and strengthening international operations, GM is setting the stage for sustained profitability and innovation in 2025 and beyond.
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