NEW YORK - General Motors (IW 500/5) Thursday reported a modest increase in quarterly profits, but badly missed analyst expectations on weak performance in its international operations.
The largest U.S. auto maker, which fully emerged from a period of partial U.S. government ownership in late 2013, posted hefty gains in its North America division.
Operating earnings in North America, the company's biggest division, rose nearly 65% to $1.9 billion.
But GM's operating earnings fell sharply in South America and in the international unit that includes China, India and the Middle East. The auto giant's European losses dwindled, but they still finished the quarter in the red.
Net earnings for the quarter were $913 million on revenues of $40.5 billion, compared with profits of $892 million on revenues of $39.3 billion. That equates to an increase of 2.4%.
Earnings per share were 57 cents, including a net loss of 10 cents per share due to non-operating items. Analysts had forecast profits of 87 cents per share.
GM's revenues also fell short of the $40.96 billion forecast by analysts.
Net income for 2013 was $3.8 billion, down 22.4% from the 2012 earnings of $4.9 billion. Revenues grew from $152.3 billion in 2012 to $155.4 billion in 2013.
"Launches of some of the best vehicles in our history combined with significant improvements in our core business led to a solid year," said GM chief executive Mary Barra.
"The tough decisions made during the year will further strengthen our operations. We're now in execution mode and our sole focus will be on delivering results on a global basis."
Copyright Agence France-Presse, 2014
