From CNBC: 2024-10-09 10:58:54

General Motors’ investor day focused on operational updates, targeting adjusted earnings in 2024 to be similar to those in 2025. GM plans to outperform with electric and combustion engine vehicles by emphasizing scale, capital efficiency, and cost discipline. Wall Street analysts responded positively, despite the lack of specific details on strategy. Stock closed unchanged at $46.01.

GM forecasts 2025 adjusted earnings in the same range as this year, with an expected EBIT of $13B to $15B. Peak EV losses projected to decrease next year. GM has cut battery costs and aims to produce about 200,000 EVs for North America in 2024. The Ultium branding for EV technologies has been dropped.

The automaker plans to strengthen its position by producing more EV models and focusing on growing traditional vehicle sales and profits. GM is aiming for cost reductions through part and option consolidation. The company is actively engaged in share buybacks to reduce outstanding shares by early 2025.

GM’s updates on Cruise autonomous vehicles and China operations left Wall Street underwhelmed. The company is considering restructuring options for its struggling China business to turn around earnings in the region. No significant announcements were made regarding the Cruise autonomous vehicle unit during the investor day. Wall Street analysts expected more updates on the venture.



Read more at CNBC: EV profits, guidance, shareholder returns