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General Motors has created recorded operating profit in 2024 due to powerful prices and decreased inventory, even if net income was hit by the rebuilding of the Chinese business.
Last year, the automaker gained $ 14.9 billion adjusted before interest and tax. This increased 21 % compared to 2023. Profit increased by 9 % to $ 187 billion, and Detroit companies set a profit per share and a free cash flow record. “The outstanding 2024,” said Mary Rose, the highest executive officer.
GM sold vehicles at a discounted price than competitors. The company states that consumer incentives include the low percentage of the industry’s average trading prices. The US dealer had a 53 -day stock in line with the company’s goal, contrasting the rival Stellantis struggle, which moved the model from the dealer lot.
GM sold 2.7 million cars in the United States in 2024. It increased by 4 % in 2023 and is the company’s highest since 2019.
Paul Jacobson, Chief Finance Officer, acknowledged the attractiveness of the car manufacturer’s product lineup. “We’ve really focused on running the portfolio,” he said. “The portfolio and the requests created have helped us.”
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However, the company’s net income fell 41 % and $ 6 billion. Last month, he said that it would renew its business in China, close plants, and reduce the number of models available to compete with Chinese car manufacturers. A week later, he said he would stop trying to develop Robotaxi in CRUISE, an autonomous car business.
The fourth quarter claim was more than $ 2 billion in total, with up to $ 2.9 billion in interest to China’s joint venture and a total of $ 2.7 billion in China’s reorganization.
Nevertheless, GM stock prices rose nearly 50 % in 2024 in 2024, compared to the 24 % increase in the S & P 500 indexes. The company has purchased stocks back since 2022.
GM stated that the operating profit after adjustment in 2025 was expected to be $ 13.7 billion and $ 15.7 billion, and that net income would be expected between $ 11.2 billion and $ 12.5 billion.
Jacobson assumes a “modest reverse wind” by predicting the number of vehicles sold to dealers and how expensive the models are in the North American price. He said he was.
“I haven’t seen this at this time,” he said. “But we believe it is a wise way to manage our budget.”
