GM reports strong profits on good sales of pricier vehicles

General Motors reported better-than-expected quarterly profits on Wednesday following cost-cutting moves and strong sales of some higher-priced vehicles in the United States and China. Earnings in the fourth quarter came in at $2.0 billion, compared with a loss of $5.2 billion in the year-ago period due to a large one-time accounting item tied to US tax reform.

Revenues rose 1.8 per cent to $38.4 billion. GM's sales volume actually fell in both North America and China, the two most important markets. But the effect was offset by strong-sales of higher-priced trucks in the United States. In China, the automaker notched strong sales of the luxury Cadillac line despite a 25.4 per cent dive in overall vehicle sales in the country.

Chief Financial Officer Dhivya Suryadevara said the results followed a "flawless" launch of trucks in the United States and pledged a continued "intense focus on costs."

GM reports strong profits on good sales of pricier vehicles

General Motors reported better-than-expected quarterly profits on Wednesday following cost-cutting moves and strong sales of some higher-priced vehicles in the United States and China. Earnings in the fourth quarter came in at $2.0 billion, compared with a loss of $5.2 billion in the year-ago period due to a large one-time accounting item tied to US tax reform. Revenues rose 1.8 per cent to $38.4 billion. GMs sales volume actually fell in both North America and China, the two most important markets. But the effect was offset by strong-sales of higher-priced trucks in the United States. In China, the automaker notched strong sales of the luxury Cadillac line despite a 25.4 per cent dive in overall vehicle sales in the country. Chief Financial Officer Dhivya Suryadevara said the results followed a flawless launch of trucks in the United States and pledged a continued intense focus on costs.