General Motors said Wednesday it sold fewer vehicles during the third quarter — but at higher prices — helping the Detroit automaker deliver a better-than-expected earnings report that sent its shares soaring.
Here's what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:
- Earnings per share: $1.87, adjusted, vs. $1.25 expected
- Revenue: $35.79 billion vs. $34.85 billion expected
The carmaker's shares jumped by 6.3 percent in morning trading. During the premarket, it had gained 10 percent.
GM swung to a profit during the quarter from last year's loss, which stemmed from the company's sale of its European business to Groupe PSA. GM's net income was $2.5 billion, or $1.75 a share, compared with a loss of $2.98 billion, or $2.03 a share, a year ago. It generated $35.79 billion in revenue, up 6 percent from $33.62 billion during the same quarter last year. Analysts had expected the company to generate $34.85 billion during the third quarter.
"Our disciplined approach to the U.S. market, combined with strength in China and further growth of GM Financial, drove a very strong quarter," said GM CFO Dhivya Suryadevara. "We will continue to take actions to mitigate headwinds including foreign currency volatility and commodity costs."