GM Forecasts Strong Earnings in 2018
- Projects record 2017 EPS diluted-adjusted at the high end of the previously stated range of $6.00 to $6.50
- Forecasts 2018 business performance to be consistent with expected 2017 results
GM forecasts its 2018 results to be largely in line with expected 2017 results, benefiting from continued strength in North America and China, improvement in South America, additional growth in its adjacent businesses including GM Financial, and continued cost efficiencies.
"GM had a very good 2017 as we continued to transform our company to be more focused, resilient and profitable," GM Chairman and CEO Mary Barra said. "We are positioned for another strong year in 2018 and an even better one in 2019."
In 2018, GM will continue its product momentum with the introduction of its next-generation full-size trucks later in the year.
"Reshaping the company over the last few years has allowed us to deploy resources and capital to higher-return opportunities including our next-generation trucks and establishing leadership in the future of mobility," GM President Dan Ammann said. "The all-new full-size truck family that launches this year will generate very strong returns for years to come."
The 2019 Chevrolet Silverado full-size pickup truck will feature eight distinct models with a variety of trim levels and six engine and transmission combinations to meet the needs of every truck customer. It will be larger, yet lighter due to the extensive use of mixed materials and advanced and flexible manufacturing processes. The next-generation Silverado will also offer the most capable beds of any full-size truck in the industry to go along with larger, more functional and connected interiors.
The all-new GMC Sierra will be revealed soon with more differentiation than ever before to appeal to premium truck buyers. These important vehicles will round out the widest-ranging truck portfolio in the industry, continuing the industry's only three-truck strategy.
According to GM Executive Vice President and CFO Chuck Stevens, the company's ongoing focus on its most compelling business opportunities continues to deliver results.
"Our core business is anchored by very strong profit franchises. With inventories right-sized and strong product momentum, we expect to generate another strong performance in 2018," Stevens said.
Among key accomplishments for 2017, the company:
Reshaped its business portfolio:
- Completed the sales of its Opel/Vauxhall and GM Financial European businesses to PSA.
- Exited franchises in South and East Africa and discontinued retail sales operations in India to focus on export manufacturing.
Capitalized on strong product momentum:
- For the fourth consecutive year, GM sold more pickup trucks in the U.S. than any other automaker – a record 948,909 units.
- Completed the refresh of GM's crossover portfolio and became the fastest-growing crossover company in the U.S., with retail market share up 1.6 percentage points to 13.1 percent, according to J.D. Power PIN estimates.
Demonstrated clear leadership in the future of mobility:
- Debuted Super Cruise, the world's first hands-free highway driving technology, on the Cadillac CT6.
- Shared its vision for zero crashes, zero emissions and zero congestion and outlined an all-electric future with plans to launch at least 20 electric vehicle models by 2023.
- Introduced the third of three generations of autonomous test vehicles that were developed within a span of 14 months.
- Announced plans to deploy self-driving vehicles in a ride-sharing environment in early 2019.
- Acquired Strobe, Inc. to help develop next-generation LIDAR solutions for self-driving vehicles and reduce LIDAR costs by 99 percent over time.
- Became the first company to use mass-production methods to build autonomous electric test vehicles.
General Motors Co. has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety, security and information services, can be found at http://www.gm.com