GM Income Drops 40% But It Is Very Hopeful Of EV Future | Carscoops carscoops
has dropped by 40 percent year-over-year, largely due to ongoing difficulties triggered by the microchip shortage.
Financial results published by the car manufacturer reveal that second-quarter net income dropped to $1.7 billion. The company’s revenues jumped to $35.8 billion while adjusted earnings before interest and taxes dropped by 43 percent to $2.3 billion. The automaker expects to hit its current guidance for full-year adjusted earnings before interest and taxes of $13 billion to $15 billion.
“Our outlook for the second half is strong, and we are reaffirming our full-year earnings guidance that includes EBIT-adjusted of between $13 billion and $15 billion,” General Motors chief executivesaid in a letter to shareholders. “This confidence comes from our expectation that GM global production and wholesale deliveries will be up sharply in the second half.
Electric vehicles form an important part of the company’s roadmap. GM is targeting 1 million units of annual EV production in North America in 2025. GM’s key electric models include the Chevrolet Silverado, Blazer EV, Equinox EV, Cadillac Lyriq, Cadillac Celestiq, GMC Hummer EV Pickup, and the GMC Hummer EV SUV.
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