General Motors Co Quarterly Report (Amendment) for Q1 Ended Mar 31, 2013

Summary

General Motors (GM) reported its first quarter 2013 results, showing a decrease in net sales and revenue compared to the prior year, primarily driven by lower wholesale volumes in North America and Europe, and unfavorable foreign currency movements. Net income also declined, impacted by these revenue pressures and increased income tax expenses. Despite the top-line decline, GM Financial demonstrated strong revenue growth, indicating the increasing importance of its financing arm. The company is actively managing its operational costs and restructuring efforts, particularly in Europe, to improve profitability. Significant capital expenditures are planned for reinvestment in the business, especially for new technology and product development, while liquidity remains a focus with substantial cash reserves and available credit facilities.

Key Highlights

• 1Total net sales and revenue decreased by 2.3% to $36.884 billion in Q1 2013 compared to $37.759 billion in Q1 2012.
• 2Net income attributable to stockholders decreased to $1.175 billion ($0.58 per diluted share) in Q1 2013 from $1.315 billion ($0.60 per diluted share) in Q1 2012.
• 3GM Financial revenue increased by 25.3% to $540 million, driven by growth in its loan and lease portfolios.
• 4The company reported goodwill impairment charges of $0 in Q1 2013, compared to $617 million in Q1 2012, primarily related to European and Korean operations.
• 5Cash and cash equivalents increased to $20.643 billion at March 31, 2013, up from $18.422 billion at December 31, 2012, indicating a healthy liquidity position.
• 6Automotive cost of sales decreased slightly by 0.9%, but automotive gross margin saw a significant decrease of 15.6%, indicating pressure on profitability from sales declines and unfavorable mix.
• 7Equity income from China JVs increased by 31.2% to $555 million, highlighting the growing importance of the Chinese market.

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