In the third quarter General Motors profit is down but higher than expected. The group recorded 1,48 billion dollars (89 cents per share) down from 1,74 billion (-12%). This is an earnings per share of 1,03 dollars per share which, net of extraordinary items, is equal to 93 cents against the 60 expected on average by analysts. Revenues were also higher than expected, rising to 37,6 billion from the previous 36,7 against the estimates of 35,7.
On the European front, GM expects an operating loss of between $2012-1,5 billion for 1,8 as a whole depending on the amount of restructuring charges in the fourth quarter, after a third quarter in the red for $500 million, up from $300 million a year earlier. The group expects slightly better results for 2013 than this year and will then reach operating break-even by 2015.
In North America, on the other hand, the group recorded a positive Ebit of 1,8 billion (2,2 billion a year earlier), breaking even in South America and slightly improving to 0,7 billion from 0,4 for international operations. The finance division also reported pre-tax profit of $0,2 billion, up slightly from a year earlier.
For president and CEO Dan Akerson this is a solid third quarter, the group aims to continue its product offensive and commitment to address market problems in Europe where it controls Opel.
