You are here: Home » Companies » News » Automobile
Business Standard

GM net profit beats Wall Street estimates, shares up more than 2%

The news sent GM's shares up more than 2% in pre-market trading

Reuters  |  Detroit 

General Motors, GM
GM reported second-quarter net income of $2.4 billion or $1.60 per share, down from $2.8 billion or $1.74 per share a year earlier

Co on Tuesday reported a better-than-expected quarterly net from continuing operations despite falling revenue and the No. 1 U.S. maintained its outlook 2017.

The news sent GM's up more than 2 percent in pre-market

The release comes at a time when is concerned that the U.S. industry is entering a downturn. Automakers have reported declining sales for the past four months in a row.

Analysts are concerned over GM's of unsold vehicles, which the has built up ahead of downtime while it prepares to launch new

But as of the end of June, had 105 days' supply of cars, above the 90-day supply it told to expect back in April. The company said on Tuesday that dealer inventories in the second quarter were up 273,000 versus the same period in 2016.

said it still expected to earn between $6 and $6.50 per share in 2017.

The results for the quarter excluded the company's European operations, which are being sold to Frances PSA Group.

reported second-quarter net income of $2.4 billion or $1.60 per share, down from $2.8 billion or $1.74 per share a year earlier. Excluding one-time charges, the company reported per share of $1.89.

On that basis, analysts had on average expected per share for the quarter of $1.69.

The company reported revenue for the quarter of $37 billion, down from $37.4 billion a year earlier and below the $40.1 billion expected by analysts.

In pre-market trading, were up 2.3 percent from Monday's close at $36.65.

First Published: Tue, July 25 2017. 19:49 IST