General Motors has returned a profit that, although it fell short of the expectations of Wall Street analysts, represented a 16th consecutive quarter of moneymaking for the once-bankrupt firm.
Earnings rose 2 per cent, to $913 million (€670 million) while net income for the year fell 22 per cent, to $3.77 billion (€2.75 billion). That figure was squeezed by the costs associated with winding down Chevrolet sales in Europe and shuttering the Holden factory in Australia.
While Europe continues to be a serious money-loser for the General, the silver lining is that losses have halved both in the last quarter of 2013 and for the whole year. GM lost $345 million (€253 million) in the final three months of the year, and $844 million (€619 million) for the full year, but those two figures were down from $761 million and $1.94 billion.
GM will be hoping that Opel’s recent uptick in form will continue and that the removal of Chevrolet as an in-house rival will clear the way for the ailing German giant to reclaim some of its former success.
The company said that it will pay bonuses of up to $7,500 (€5,500) to hourly workers in the US as a result of the continued profits, but it warned that the company faces pressure in Europe, from price squeezing in the Middle East, economic turmoil in South America and a rising yen in Japan.
“Launches of some of the best vehicles in our history, combined with significant improvements in our core business, led to a solid year,” Mary Barra, GM’s new chief executive, said in a statement. “The tough decisions made during the year will further strengthen our operations.”