• News
  • Guides
  • Reviews
  • Media
  • About
  • News
  • Guides
  • Reviews
  • Media
  • About
Sign up Now (For Free)

Sign up for our newsletter and receive the latest automotive news in your inbox!

Invalid email address
We promise not to spam you. You can unsubscribe at any time.
Thanks for subscribing!
News
Read Now
  • All News
  • Automakers
  • Automobiles
  • Auto Shows
  • Business
  • EVs & Environment
  • Guides
  • Lawsuits/Legal
  • Regulatory
  • Ride-Sharing
  • Safety & Recalls
  • Technology
Recent
  • The Rearview Mirror: A Sports Car from a Company You've Never Heard Of
  • Analysts Predict Declining Tesla Sales in Q3
  • Overlanding is the New Hotness
  • New Vehicle Sales Increase in September
  • Are EVs Affordable? Only if You’re a Luxury Buyer
  • Honda Takes Wraps Off New All-Electric Prologue
  • Mercedes to Offer True Self-Driving in Late 2023
  • Biden Meets UAW Picketers, Offers Support
  • Ford Halts $3.5B MI Battery Plant; Fain Slams Company
  • An Electric Acura NSX Could Be Coming
Editor’s Choice
    Reviews
    Read Now
    • All Reviews
      • Feeder
    • Classic Cars
    • Concept Cars
    • Convertibles
    • Coupes
    • Crossovers/CUVs
    • Diesel
    • Hot hatches
    • Hybrids
    • Luxury Vehicles
    • Minivans
    • Muscle Cars
    • Pickups
    • Sedans
    • Sports Cars
    • Super Cars
    • SUVs
    Recent Reviews
    • A Week With: 2024 Buick Encore GX Sport Touring AWD
    • A Week With: 2023 Mercedes-Benz EQB 250+
    • A Week With: 2024 Mazda CX-90 Turbo S Premium Plus
    • A Week With: 2024 Mercedes-AMG EQE SUV
    • A Week With: The 2024 BMW i7 xDrive60
    • A Week With: 2024 Alfa Romeo Tonale Veloce AWD
    • A Week With: 2023 Toyota Camry XSE Hybrid
    • A Week With: 2024 Subaru Impreza RS
    • A Week With: 2023 Chevrolet Colorado ZR2 Desert Boss
    • First Drive: 2024 Polestar 2
    Editor’s Choice
      Guides
      Car Warranty
      • Endurance Warranty Reviews
      • BMW Extended Warranty
      • Extended Warranty For Cars Over 100k Miles
      • Extended Car Warranty Cost
      • Subaru Extended Warranty
      • CarShield Reviews
      • CarShield Cost
      • Aftermarket Car Warranty
      • CARCHEX Warranty Reviews
      • Reputable Extended Car Warranty Companies
      • Used Car Warranty Companies
      • Best Car Warranty
      • Is CarShield A Scam?
      • Mercedes Extended Warranty
      • CarShield Plans
      Insurance
      • How To Identify A Car Insurance Company
      • Geico Mechanical Breakdown Insurance
      • How Far Back Does A Car Insurance Company Look
      • Mechanical Breakdown Insurance For Used Cars
      • State Farm Mechanical Breakdown Insurance
      • Mechanical Breakdown Insurance From Progressive
      • Dollar A Day Insurance
      • Auto Insurance For SSI Recipients
      • Car Insurance Rates After A Suspended License
      • Auto Insurance For Salvage Vehicles
      • Average Cost of Dodge Ram 1500 Car Insurance
      • Car Insurance Florida
      • Full Coverage Auto Insurance
      • GrubHub Insurance
      • Amazon Delivery Auto Insurance
      Shipping
      • Car Shipping Companies
      • uShip Reviews
      • Auto Shipping From California To Hawaii
      • Montway Auto Transport Reviews
      • Cheap Car Shipping
      • Easy Auto Ship Reviews
      • Auto Shipping Miami
      • Auto Shipping To Alaska
      • Car Shipping Cost
      • Auto Shipping Hawaii
      • Auto Shipping Puerto Rico
      • Sherpa Auto Transport Reviews
      • Auto Shipping Atlanta
      • Auto Shipping Boston
      • Auto Shipping. Chicago
      About
      • About Us
      • Contact Us
      • Terms of Use
      • Privacy Policy
      • Affiliate Disclosure
      • Sitemap
      TheDetroitBureau.com

      More than just “another” place to find news, reviews, spy shots, commentary, features, and guides about the auto industry. TheDetroitBureau doesn’t stop with the press releases or confuse a few lines of opinion with insightful, in-depth reporting.

      Contact Us

      Like what you see? Have some ideas for making The Detroit Bureau.com even better? Let us know, we’d love to hear your voice.

        Media
        Listen Now
        • Headlight News: All Episodes
        More from TheDetroitBureau
        • Guides
        • Latest News
        • Auto Reviews
        • Podcasts
        Headlight News

        TheDetroitBureau.com’s Headlight News offers a look at the past week’s top automotive news stories, as well as what’s coming up in the week ahead. Check out the week’s top story and our latest review…along with a dive into the past with this week in automotive history.

        home > news > Automobiles > GM Forecasts Improved Profitability in 2015

        GM Forecasts Improved Profitability in 2015

        Past year’s balance sheet battered by recall crisis.

        Paul A. Eisenstein
        Paul A. Eisenstein , Publisher & Editor-in-Chief
        Jan. 14, 2015
        General Motors CEO Mary Barra is predicting a strong 2015 for the Detroit-based automaker.

        After watching General Motors get hammered for its safety lapses last year, investors have gotten some good news from the Detroit automotive giant. GM’s senior management team, led by CEO Mary Barra, predicted earnings should bounce back in 2015.

        While they didn’t offer a specific earnings target, Barra and her top lieutenants told those attending an industry conference in Detroit that they are on track to meet their financial targets, in part due to the anticipated turnaround of the company’s long-troubled European operations.

        Sign Up Now!

        “We had a pivotal year in 2014, outlining a customer-focused strategic plan for the company and delivering on our commitments by achieving strong core operating performance,” Barra said during the Deutsche Bank 2015 Global Auto Industry Conference. “We’ll build on this momentum in 2015 and continue executing our plan to become the most-valued automotive company.”

        GM had a mixed year in 2014. The year started out on a good note, with then new CEO Barra watching as General Motors collected trophies for the North American Car and Truck of the Year. But within months, the industry’s first female CEO was facing a Congressional investigation into the long-delayed recall of 2.6 million vehicles equipped with faulty ignition switches.

        The maker soon said it would suffer a $400 million earnings hit due to the switch problem. Then in July, GM announced it would take a $900 million charge to cover future recall costs. By the end of 2014, in fact, it had recalled 27 million vehicles, an all-time record for a single manufacturer. There was also the cost of the compensation fund set up to deal with victims of the faulty switch, as well as federal fines and the threat of costly litigation.

        The safety scandals all but obscured the strong recognition GM continued to receive for new products last year. And those new models helped the maker both trim incentives and drive up its Average Transaction Price to record levels.

        Going into 2015, several factors appear to be playing in GM’s favor. There’s the sudden plunge in U.S. fuel prices that has led to a surge in demand for pickups – like the Chevrolet Silverado – and other high-margin trucks and crossovers.

        (Buick Avenir, Ford GT dominate design awards. For more, Click Here.)

        In China, the maker ended 2014 with a new sales record – though it failed to overtake archrival Volkswagen in the world’s largest automotive market.

        As for Europe, a turnaround has long eluded GM’s grasp, but with the Continental car market showing signs of a weak upturn after a record plunge in demand, the maker is projecting it finally will hit breakeven this year.

        (Click Here for Cadillac’s aggressive plans to take on the luxury leaders.)

        During the Deutsche Bank conference, executives said GM is on track to hit a 2016 financial target of 10% EBIT-adjusted margins in North America. It is also on a path to global margins in the 9% to 10% range by early in the next decade,

        There are still plenty of challenges and risks, industry observers caution: the possibility of more quality problems, a slowdown in either China or the U.S., and a return to higher fuel prices among them. GM also has to build traction for its once-dominant Cadillac vision – though that luxury brand outlined an ambitious new product program during this week’s North American International Auto Show.

        (To see more about the Bolt, GM’s message to Tesla about affordable EVs, Click Here.)

        “Overall, 2014 was a very solid year in which we met expectations on core operating performance, despite a number of significant headwinds,” asserted GM Chief Financial Officer Chuck Stevens, who shared the stage with Barra. “Importantly, improvements in 2015 will keep us firmly on track to meet our near-term objectives and demonstrate solid progress…by early next decade.”

        How to Care for Your Car

        Cheap Car Warranty

        Editor's Choice

        Best Extended Car Warranty

        Editor's Choice
        Recently Published

        The Rearview Mirror: A Sports Car from a Company You’ve Never Heard Of

        Sept. 30, 2023

        Analysts Predict Declining Tesla Sales in Q3

        Sept. 29, 2023

        Overlanding is the New Hotness

        Sept. 29, 2023

        3 responses to “GM Forecasts Improved Profitability in 2015”

        1. Jorge says:
          January 14, 2015 at 2:10 pm

          Excellent. Now GM will have no reason to NOT repay U.S. tax payers the $9.4 Billion they still owe us. Chrysler should fork over the Billion plus that they owe us also.

          Reply
        2. nobsartist says:
          January 14, 2015 at 8:00 pm

          They seem awfully confident that they will not be liable for the ignition switch deal. I think otherwise.

          Reply
          1. Jorge says:
            January 14, 2015 at 9:42 pm

            They have allocated $400 million for the ignition switch settlement which is pocket change compared to the $9.4 Billion they cheated tax payer’s out of. When you’re doing $40-$60 Billion a year in sales, they won’t be too concerned about even a billion in settlement costs. It’s just a tax write-off.

            Reply

        Leave a Reply Cancel reply

        Your email address will not be published. Required fields are marked *

        Share this article:
        © The Detroit Bureau 2023
        • Guides
        • Privacy Policy
        • Terms of Use
        • Affiliate Disclosure
        • Contact Us
        • Sitemap
        Follow Us: