GM drops after profit comes up short


General Motors (GM) comes up well-short of analyst estimates for profit in Q4.

GM North America saw a EBIT-adjusted mark of $1.9B for the quarter, but Europe saw a loss and South America was flat.

The automaker says it's in "execution" mode now after going through a period of reducing capacity in key regions.

GM says it year-end pension obligation of $99B was about 80% funded.

GM -3.5% premarket

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Comments (6)
  • dacama1
    , contributor
    Comments (221) | Send Message
     
    Re: pension obligation

     

    80% funded means 20 with a "b" billion short.
    6 Feb 2014, 07:57 AM Reply Like
  • spald_fr
    , contributor
    Comments (2811) | Send Message
     
    [The automaker says it's in "execution" mode now after going through a period of reducing capacity in key regions.]

     

    Hard to believe GM is using the word "execution".
    6 Feb 2014, 09:14 AM Reply Like
  • DeepValueLover
    , contributor
    Comments (10761) | Send Message
     
    GM has over $28 billion in cash-on-hand.
    6 Feb 2014, 10:39 AM Reply Like
  • june1234
    , contributor
    Comments (3871) | Send Message
     
    So much for the weather Chrysler sales were up while GM's were down.How can you come up short after they wiped away so many of your debts and gave you a $40B tax write-off going forward? Same GM. They make good trucks but they have a lot of competition there. When I see their ads mentioning competitors by name I know they're having a tough go
    6 Feb 2014, 08:39 AM Reply Like
  • spald_fr
    , contributor
    Comments (2811) | Send Message
     
    The article should have mentioned the massive inventories GM had built up in the last quarter of 2013.
    6 Feb 2014, 09:16 AM Reply Like
  • mobyss
    , contributor
    Comments (2411) | Send Message
     
    GM's trucks, in one of the most competitive (and profitable) segments of the US auto market, fall short of the competition, given that they are a brand-new model for 2014.

     

    Ford will introduce a new F150 for 2015, and Dodge will redesign the Ram within a couple of years. GM will be stuck with this new model through at least 2020. Market share will probably decrease every year between now and then, and the market itself is shrinking.

     

    Total US auto sales for 2014 are predicted to be less than 2013 (15.7 million range), and continue to fall yearly as the "bump" from the lows in 2009 (under 11 million) wears off.
    6 Feb 2014, 11:41 AM Reply Like
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