{"id":242704,"date":"2021-05-05T17:00:44","date_gmt":"2021-05-05T14:00:44","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/gm-profits-rise-affirms-2021-outlook-despite-semiconductor-crunch\/"},"modified":"2021-05-05T17:00:44","modified_gmt":"2021-05-05T14:00:44","slug":"gm-profits-rise-affirms-2021-outlook-despite-semiconductor-crunch","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/gm-profits-rise-affirms-2021-outlook-despite-semiconductor-crunch\/","title":{"rendered":"#GM profits rise, affirms 2021 outlook despite semiconductor crunch"},"content":{"rendered":"

“#GM profits rise, affirms 2021 outlook despite semiconductor crunch<\/strong>”<\/p>\n

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\"Shares
\n Shares of General<\/a> Motors jumped after it reaffirmed its full-year forecast despite a hit from the semiconductor shortage
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General Motors reported higher first-quarter profits Wednesday and reaffirmed its full-year outlook despite a global shortage of semiconductors that has constrained manufacturing.<\/p>\n

The big US automaker reported profits of $3 billion, 10 times the level in the year-ago period, on strong vehicle pricing. The company said it is “highly confident” in its full-year financial outlook released in February.<\/p>\n

Revenues were essentially flat at $32.5 billion.<\/p>\n

GM benefited from higher auto deliveries in the United States and China that more than offset declines in other markets.<\/p>\n

Another bright spot was GM Financial, its lending arm, which posted higher profits amid rising prices for used vehicles.<\/p>\n

“These strong results demonstrate once again the underlying strength of our business, especially in North America and China and at GM Financial,” Chief Executive Mary Barra said in a letter to shareholders.<\/p>\n

“We continue to execute our strategy and make significant progress on our transition to an all-electric future with the growth opportunities it creates.”<\/p>\n

Barra, in a conference call with reporters, said the second quarter would be the “weakest” period of 2021, but that the company’s continued confidence in the full-year outlook reflects “super creative” ingenuity throughout its supply chain teams.<\/p>\n

Like other carmakers, GM has temporarily suspended production at some factories due to the semiconductor shortage. But it has worked to minimize the impact on its best-selling trucks, which generally have higher profit margins.<\/p>\n

Barra said she now expects full-year operating profit to be “at the higher end” of the previously-released $10 to $11 billion range.<\/p>\n

Shares of GM rose 4.0 percent to $57.53 in pre-market trading.\n <\/p>\n\n

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GM rides US love for trucks, SUVs to blowout 3Q profits\n <\/p><\/div>\n

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\n \u00a9 2021 AFP<\/p>\n

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Citation<\/strong>:
\n GM profits rise, affirms 2021 outlook despite semiconductor crunch (2021, May 5)
\n retrieved 5 May 2021
\n from https:\/\/techxplore.com\/news<\/a>\/2021-05-gm-profits-affirms-outlook-semiconductor.html<\/p>\n

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