The automaker was resilient in Q3. GM returns to profitability
General Motors – the largest US automaker reported its financial results for Q3 2020, and the results were higher-than-expected.
General Motors posted earnings of $4.1 billion, topping the $2.1 billion forecasted by the market. Compared to the same quarter last year's figures, the results came in 64% higher.
While the earnings numbers were above the consensus, the same cannot be said about revenue. For Q3 2020, the revenue figures came in line with expectations at $35.5 billion. GM maintained the numbers at this level despite the 4% decline in its worldwide sales.
Also, the profit margin increased to 14.9% from last year’s 8.4%.
General Motors didn't provide any further guidance, but it announced that it plans to invest up to $1 billion in its Oshawa plant to build pickup trucks starting early 2022.
Following the report, General Motor stock price rallied nearly 7%. Year-to-date, the company’s stock price lost roughly 3%.
Read about how companies have performed in the past quarter here!
Sources: markets.businessinsider.com, edition.cnn.com
Users/readers should not rely solely on the information presented herewith and should do their own research/analysis by also reading the actual underlying research. The content herewith is generic and does not take into consideration individual personal circumstances, investment experience or current financial situation.
Key Way Markets Ltd shall not accept any responsibility for any losses of traders due to the use and the content of the information presented herein. Past performance and forecasts are not reliable indicators of future results.