The Vette Barn - But They'll Make it Up in Volume: GM Loses $ 1.7B on EV's in ONE QUARTER

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But They'll Make it Up in Volume: GM Loses $ 1.7B on EV's in ONE QUARTER

https://www.wnd.com/2024/01/top-u-s-...s-4th-quarter/

Quote:

Top U.S. automaker reports $1.7 BILLION loss on EVs in 4th quarter
CFO: 'We feel good at the way that they're being received'

Published January 30, 2024 at 12:39pm

General Motors reported a $1.7 billion loss on Tuesday in its fourth quarter earnings call in the production and sale of its electric vehicle line, despite having positive net income growth in the quarter.

The automaker’s net income for the fourth quarter rose 5.2% year-over-year to $2.1 billion despite a reduction in revenue over that time frame of 0.3%, according to GM’s fourth quarter earnings report. The losses on EVs accompany a $1.1 billion total loss from a six-week-long strike by the United Auto Workers that partially halted operations, with the union gaining a new work contract that could raise labor costs in the coming year, according to the company’s investor earnings call.

“In our EV business, we expect our U.S. portfolio will become variable profit positive in the second half of the year based on our current expectations for EV demand and production growth, strong interest in our vehicles, lower commodity prices and other factors,” Mary Barra, CEO of GM, said in the letter to shareholders Tuesday. “It’s true the pace of EV growth has slowed, which has created some uncertainty. But many third-party forecasts have U.S. EV deliveries rising from about 7% of the industry in 2023 to at least 10% in 2024, which would mean another year of record EV sales.”

The automaker noted that manufacturing and quality problems stymied the rollout of EVs in 2023, while demand from consumers in general has been weaker than expected, according to The Wall Street Journal. GM projects that EV sales will improve in the coming year as the company releases new models and scales production.

“What we don’t want to do is get into a position where we’re so focused on ramping up production that we’re not thinking about where the consumer is,” Paul Jacobson, CFO of GM, said in the investor call. “But so far, when you look across our models, we feel good at the way that they’re being received.”

GM did not immediately respond to a request to comment from the Daily Caller News Foundation.

"But They'll Make it Up in Volume"
:seasix:
:rofl:

I know a few people who bought Bolts, they are all well off people who could certainly afford much more expensive cars but they are the type to be frugal. Making an economy end EV really doesn't seem like it has much of an audience if the affordability falls in the range of apartment dwellers with no place to charge it.
So what's the target? Homeowners with budgets that are make or break on a few hundred every month? Homeowners who hate Elon? Homeowners with jobless loser grown kids still living at home but wanting new car?

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Originally Posted by Unsuspicious (Post 2210687)

There is a dood in here with a Bolt, he has documented proof that you always get laid if you own a Bolt.
He once had a threesome set up, but ran out of room, so cut it back to a onesome.
I may be buying one soon, or not.

not a surprise.. Tesla is eating all the other EV makers lunch. GM had to drop prices to a point where they lose money on every single EV and still don't sell many of them.
Yes, the volume of sales is increasing but they are losing money on them. Tesla is killing the competition as they can sell cheap and still make a profit.

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Originally Posted by GrandSportC3 (Post 2210697)

Yeah, Tesla never drastically cut their prices to make sales goals. Owait.

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Originally Posted by Unsuspicious (Post 2210698)

Yeah, Tesla never drastically cut their prices to make sales goals. Owait.

Yes, they did cut the prices BECAUSE OF THE FED'S INTEREST HIKES which killed demand.. HOWEVER, Tesla MAKES A PROFIT AT THE REDUCED PRICES.... unlike GM, Ford and others.

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Originally Posted by GrandSportC3 (Post 2210697)

Right now telsa is eating a bagged lunch, nasty bologna and mustard on old bread,,, I am certain you are watching their stock price.

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Originally Posted by GrandSportC3 (Post 2210701)

Yes, they did cut the prices BECAUSE OF THE FED'S INTEREST HIKES which killed demand.. HOWEVER, Tesla MAKES A PROFIT AT THE REDUCED PRICES.... unlike GM, Ford and others.

They make PLENTY of profits. They cry "poor" so they can collect government money. Probably pays their bonuses.

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Originally Posted by Onebadcad (Post 2210702)

Right now telsa is eating a bagged lunch, nasty bologna and mustard on old bread,,, I am certain you are watching their stock price.

Again, they are making a profit, just not as high as it used to be. Wait for interest rates to drop, you will see prices go back up and profits rising. High interest rates are hard on the economy, especially for businesses whose products are usually purchased using credit.

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Originally Posted by Aerovette (Post 2210705)

They make PLENTY of profits. They cry "poor" so they can collect government money. Probably pays their bonuses.

There is no difference between the government money that Tesla can get and that GM can get. It's a level playing field for any car makers.

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Originally Posted by GrandSportC3 (Post 2210709)

There is no difference between the government money that Tesla can get and that GM can get. It's a level playing field for any car makers.

I was speaking of the big three.

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Originally Posted by Aerovette (Post 2210710)

I was speaking of the big three.

The big 3 can't compete in the EV market because it costs them too much to make the cars.. Union Labor is killing them.

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Originally Posted by Unsuspicious (Post 2210687)

I bought Wifie a Bolt because she only uses it for shopping and other local trips, and it was about half the price of a Model Y at the time. We've had it for 4 years now and it's been the most reliable, trouble-free Chevy we've ever owned.

:yesnod:

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Originally Posted by GrandSportC3 (Post 2210714)

The big 3 can't compete in the EV market because it costs them too much to make the cars.. Union Labor is killing them.

:yesnod:

That plus a lack of manufacturing efficiency. Tesla invested heavily in things like robots and the Gigapress, which lowers their production costs tremendously.

Quote:

Originally Posted by GrandSportC3 (Post 2210714)

The big 3 can't compete in the EV market because it costs them too much to make the cars.. Union Labor is killing them.

Never mind. You have gone in the ditch. :spdchk:

Quote:

Originally Posted by Aerovette (Post 2210710)

I was speaking of the big three.

We're going to need a new name for them pretty soon. :D

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Originally Posted by dvarapala (Post 2210722)

We're going to need a new name for them pretty soon. :D

Goodwheel - Largest charity in existence.

Quote:

Originally Posted by Aerovette (Post 2210705)

They make PLENTY of profits. They cry "poor" so they can collect government money. Probably pays their bonuses.

What government money is Tesla receiving in 2024? :waiting:

Quote:

Originally Posted by dvarapala (Post 2210725)

What government money is Tesla receiving in 2024? :waiting:

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