General Motors is to announce its Q2 2013 earnings this Thursday, but analysts are predicting a 13 percent dip in profits compared to a year ago, according to Forbes. However, revenue is expected to be about 2 percent higher from last year, at $38.37 billion compared to $37.61 billion. For the year, revenue is predicted to hit $156.25 billion.
Forbes points out that The General has seen steady earnings for the last eight quarters, but income has been dropping year-over-year by an average of 6 percent over the last four quarters. Still, 80 percent of analysts list the company’s stock as a “buy.”
Comments
I wish they would refresh what happen last year at this time in terms of what the company was doing so we can figure out if this is bad news or just a adjustment to last years sale!
So if profits go down compared to last year but the company is still profitable is that a bad thing?
They’re making less money (earnings) on more business (revenue). Overall, it’s not a good thing. However, GM is only about halfway through its goal of consolidating platforms and engines and removing overall complexity. Once that major undertaking is completed, then we should start to see some really impressive financial numbers from GM.