GM turns a profit in Q1 despite massive recall costs

|By:, SA News Editor

General Motors (GM) posted a significantly lower profit in Q1 due to the high costs of its ignition switch recall.

The automaker was able to stay in the black as solid pricing trend in North America helped to boost margins.

As previously reported, GM tallied recall expenses of $1.3B in Q1.

GM Europe reported an EBIT-adjusted loss of $300M, inclusive of $200M for restructuring costs.

GM +2.1% premarket despite a miss by the automaker on its top line.