General Motors earnings dropped to $1.7 billion for the third quarter in the wake of more bad news from its European operations and disappointing results from South America.
GM’s third-quarter earnings, which worked out to $1.03 per share, compared with the $2 billion, or $1.20 per fully-diluted share, reported by the maker during the same period a year ago. But that was still better than many analysts were anticipating for the July – September 2011 period.
Analysts polled by the tracking firm FactSheet predicted GM earnings for the latest quarter would only reach 94 cents per share.
And the latest results mark the maker’s seventh consecutive quarterly profit since emerging from Chapter 11 bankruptcy protection in July 2009. GM’s net revenue, meanwhile, increased by 8% to $36.7 billion, compared with the third quarter of 2010. Unit sales for the quarter rose 9%, to 2.2 million, largely on increased demand in China.
“GM delivered a solid quarter thanks to our leadership positions in North America and China, where we have grown both sales and market share this year. But solid isn’t good enough, even in a tough global economy,” said Dan Akerson, chairman and CEO.