Analysts expect General Motors’ first quarter 2016 earnings to beat its financial performance from the year-ago quarter. Those polled by FactSet expect GM to report Q1 2016 adjusted earnings of $1 a share in the first quarter, which would be up from 86 cents a share in the year-ago quarter, on revenue of $35.75 billion.
By comparison, GM’s Q4 2015 results came in at $1.39 per share against a consensus Street estimate of $1.24, beating the average estimate by $0.15. The company’s Q4 2015 revenue was $39.62 billion compared to a Street estimate of $38.07 billion.
General Motors will announce its Q1 2016 earnings on the morning of April 21st, 2016 and GM Authority will be providing live coverage.
Comments
This is key. We focus so much on volume and profits are just as important if not more. You must balance each but even high volumes at little to no profits will kill a company.
So what this tells me is that GM sold less cars during the same point last year and they made more in terms of profit. Outstanding!
Now I am sure some brain dead guy will complain that sells are down for this car or that one. Like the post above profits are what matter.
Here is a better explanation.
#1 important issue is profits. As you can sell a ton of cars bur no profit will crash you for sure.
#2 in importance is volume as you do need volume to balance out the money needed for development and over all cost structures. Profits can be variable but profits less flexible.
Also there are a variety of different profit structures that can be reported and considered.
Volume is still important but it is only part of the calculation.
The Wall Street Journal reported today that GM profits are up significantly from same time last year.
http://www.wsj.com/articles/gms-profit-more-than-doubles-1461239129?cx_navSource=cx_picks&cx_tag=poptarget&cx_artPos=1
GM worldwide made a whopping $1.95B last quarter. That is fantastic and bodes well from all of GM on all facets of their business.
For us enthusiasts it means GM will have more money to invest in new products and may even take a chance or two on borderline models currently in development or awaiting a green light.
Really encouraging is news that GM Europe ‘only’ lost $6M last quarter down from $241M in the first quarter 2015. GM may actually reach it’s goal of break even in Europe for fiscal year 2016.
Great job Mary and others.