General Motors’ fourth quarter 2015 earnings include a net income of $6.3 billion, or $3.92 per fully diluted share, on net revenue of $39.6 billion.
“The fourth quarter closed another very strong year of operating performance,” said Chuck Stevens, executive vice president and CFO. “We plan to improve our results in 2016, driven by a significant vehicle launch cadence, continued emphasis on growing our adjacent businesses and an unrelenting focus on driving efficiencies into our core operations.”
Earnings Before Interest And Tax (EBIT)
EBIT-adjusted was a record $2.8 billion and EBIT-adjusted margin was 7.0 percent in the fourth quarter of 2015. This compares to EBIT-adjusted of $2.4 billion and EBIT-adjusted margin of 6.1 percent in the fourth quarter of 2014.
Earnings Per Share
During the quarter, earnings per share (EPS) diluted was $3.92, up 493 percent compared to the fourth quarter of 2014.
Total net revenue in the fourth quarter of 2015 was $39.6 billion, approximately equal to the fourth quarter of 2014.
However, holding exchange rates constant, net revenue during Q4 2015 was $2.4 billion higher than the fourth quarter of 2014.
Special items during the fourth quarter of 2015 impacted net income to common stockholders favorably by $4.0 billion, or $2.53 per share, compared to an unfavorable $(0.9) billion impact in 2014, or $(0.53) per share.
These special items included a $3.9 billion net non-cash benefit related to the release of the company’s valuation allowances on certain GM Europe deferred tax assets.
General Motors Q4 2015 Financial ResultsFigures in billions except for per share amounts and percentages
|METRIC||Q4 2015||Q4 2014||Q4 2015 - Q4 2014||% CHANGE Q4 2015 / Q4 2014|
|NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS||$6.30||$1.10||+5.20||+472.73%|
|EARNINGS PER SHARE (EPS) DILUTED||$3.92||$0.66||+3.26||+493.94%|
|IMPACT OF SPECIAL ITEMS ON EPS DILUTED||$2.53||$(0.53)||+3.06||+577.36%|
|EPS DILUTED - ADJUSTED||$1.39||$1.19||+0.20||+16.81%|
|% EBIT-ADJUSTED MARGIN||7.00||6.10||+0.90||+14.75%|
|AUTOMOTIVE NET CASH FLOW FROM OPERATING ACTIVITIES||$2.20||$3.80||-2.10||-116.67%|
|ADJUSTED AUTOMOTIVE FREE CASH FLOW||$(0.30)||$1.80||-2.10||-116.67%|
|% RETURN ON INVESTED CAPITAL (ROIC)||27.2||15.4||+11.80||+76.62%|
Regional Division Results
- GM North America (GMNA) reported EBIT-adjusted of $2.8 billion in the fourth quarter of 2015, up $600 million compared to the $2.2 billion in 2014.
- GM Europe (GME) reported EBIT-adjusted of $(0.3) billion ($300 million loss) in the fourth quarter of 2015, a $100 million improvement compared to the $(0.4) billion ($400 million loss) in 2014.
- GM International Operations (GMIO) reported EBIT-adjusted of $0.4 billion in the fourth quarter of 2015, flat over the $0.4 billion in 2014.
- GM South America (GMSA) reported approximately break-even results in the fourth quarter of 2015, down roughly $100 million compared to EBIT-adjusted of $0.1 billion in 2014.
- GM Financial reported earnings before taxes (EBT) of $0.2 billion in the fourth quarter of 2015 compared to $0.1 billion in 2014.
Cash Flow And Liquidity
For Q4 2014, automotive cash flow from operating activities was $2.2 billion, compared to $3.8 billion in 2014. In the fourth quarter of 2015, adjusted automotive free cash flow was $(0.3) billion, compared to $1.8 billion in 2014.