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GM boosts profit outlook as supply chain troubles are eased

December 1, 2021

Detroit (Reuters) -General Motors predicts full-year adjusted pre-tax profit to reach about $ 14 billion, higher than previous forecasts, automaker chief financial officer Paul Jacobson said in a presentation Stated.

GM previously predicted full-year adjusted pre-tax profit of $ 11.5 billion to $ 13.5 billion.

Jacobson said GM’s financial performance has benefited from strong consumer demand, high prices for new cars, and improved stability in semiconductor supply.

Jacobson warned that semiconductor supply and GM’s vehicle production would not return to normal until late 2022. GM’s vehicle inventory at dealers will not return to normal soon.

GM is also working to increase the cost of goods used in vehicles.

“Inflation can be seen everywhere,” Jacobson said.

So far, Jacobson said the company has been less affected by the new Omicron coronavirus mutant.

“We continue with the protocol we are implementing and working with,” Jacobson said.

(Report by Joe White; edited by Nick Zieminski)

GM boosts profit outlook as supply chain troubles are eased

Source link GM boosts profit outlook as supply chain troubles are eased

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