General Motors Co. said Feb. 1 that fourth-quarter earnings slid but that full-year results improved compared with a year earlier.
Detroit-based GM said its profit for 2021’s final quarter totaled $1.74 billion, or $1.16 a share, compared with $2.8 billion, or $1.93, for the same period in 2020. Revenue for the quarter fell to $33.6 billion compared with $37.5 billion a year earlier.
The automaker in 2021 confronted a shortage of computer chips that reduced vehicle production. GM also balanced current output with investing in new electric vehicle development.
For full-year 2021, GM posted a profit of $10 billion, or $6.70 a share, compared with $6.4 billion, or $4.33, in 2020. Full-year revenue totaled $127 billion compared with $122.5 billion for 2020. COVID-19 had a major impact on GM’s 2020 results.
The automaker forecast a full-year 2022 profit of $9.4 billion to $10.8 billion.
Chief Executive Officer Mary Barra, in a separate message to shareholders, said GM remains committed to its drive to develop EVs.
“Strong demand is driving the acceleration of our EV manufacturing,” Barra wrote. “For GM and our shareholders, this transformation doesn’t end with EVs.”
GM is seeking to maximize current profits from large pickups and SUVs to finance EV investments.
The CEO said “we expect our 2022 results will remain strong… I believe GM’s strategy stands apart.”
Last week, GM said it is investing $7 billion to boost efforts at four Michigan manufacturing sites to boost battery cell capacity and electric truck manufacturing capacity.
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