GM

Company wants to increase production by 25-30% and by the end of next year

General Motors Corporation managed to beat analyst expectations for quarterly earnings by focusing on selling more profitable vehicle models amid apparent component shortages. According to the results of the current year, it expects to increase production by 25-30% and by the end of next year it promises to produce at least 400,000 electric vehicles.

Analysts had expected GM's net income for the last quarter to be no more than $2.45 billion, and the corporation said it reached that figure at $2.9 billion. Costs for components and materials increased. However, under current conditions, GM's management is counting on customers' ability to buy cars at current prices. According to the company's forecasts, the shortage of components will begin to decrease in the second half of the year.

GM's net income for this year is expected to reach $9.6 or $11.2 billion, pre-tax, the corresponding figure will be in the range of $13 to $15 billion. Next year. GM does not give up hope until the end of 2023 to produce 400,000 electric vehicles, although now its share of the North American market in this category does not exceed 0.3%. By the middle of the decade, the company expects to sell 1 million electric vehicles annually in the US.

GM's management compensation package will now be tied to the success of the electric vehicle market, both the volume of production of electric vehicles and the timing of their market introduction will be important. By the end of the year, the corporation will begin selling Cadillac Lyriq luxury electric crossovers in the US and Canada (pictured above). Last quarter, the company managed to increase revenue by 11% to $36 billion.

Autonews