General Motors (GM) Reports Mixed Fourth Quarter 2021 Results and 2022 Guidance; Nudge High Pre-Market Stocks
General Motors (GM) published mixed results for the fourth quarter of 2021 on February 1, as well as forecasts for 2022 more or less in line with market expectations. GM shares were up 2.11% before market this morning.
Mixed Q4 2021 results
For its fourth quarter, the Detroit-based automaker reported adjusted earnings of $1.35 per share, which was below consensus guidance of about $1.19 per share. On the other hand, quarterly revenue of $33.58 billion exceeded the previous forecast of $34.01 billion.
2021 annual results
GM reported full-year 2021 net income of $10 billion and “Adjusted EBIT of $14.3 billion,” with EPS of $6.70. Adjusted earnings were $7.07 per share for the year.
According to GM, it currently expects “diluted and diluted EPS adjusted between $6.25 and $7.25” and annual net income between $9.4 billion and $10.8 billion, with an annual adjusted income of $13.0 billion. at $15.0 billion. EPS in 2021, for comparison, was $7.07.
Improved availability of semiconductors
GM chief financial officer Paul Jacobson said on an earnings call that the company “saw improved semiconductor availability in the fourth quarter compared to the third quarter, which allowed us to increase sequentially our wholesale while significantly reducing our inventory of vehicles built without certain components”. Jacobson also went on to say that GM expects continued semiconductor availability to improve throughout 2022, which should help improve GM’s financial results.