General Motors Co (GM.N) on Tuesday reported a higher quarterly net income for the fourth quarter, and forecast stronger-than-expected earnings in 2023, sending its shares up over 5% in premarket trading.
The company expects its core auto operations to perform at a consistently strong level in 2023, with full-year net income attributable to stockholders of $8.7 billion-$10.1 billion, adjusted EBIT of $10.5 billion-$12.5 billion, and diluted and adjusted earnings per share of $6.00-$7.00.
For the full year, GM’s profit dropped to $9.9 billion from $10 billion in 2021. EBIT-adjusted income of $14.5 billion was a record, up slightly from $14.3 billion a year earlier.
The company expects adjusted automotive free cash flow of $5.0 billion to $7.0 billion in 2023, with net automotive cash from operating activities of $16.0 billion to $20.0 billion.
In the fourth quarter, GM earned $2.0 billion, up from $1.7 billion the previous year. EBIT-adjusted income of $3.8 billion topped the year-earlier $2.8 billion, as higher prices and increased sales volume in North America more than offset higher costs.
Diluted adjusted earnings per share of $2.12 in the quarter compared with $1.99 a year earlier.