General Motor share price falls as car giant reports record quarterly and yearly profits

Caitlin Morrison
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GM boss Mary Barra (Source: Getty)

Shares in US car manufacturer General Motors (GM) have dipped by as much as five per cent today, despite the company posting a record yearly profit of $9.7bn (£6.6bn) in 2015 - up from $2.8bn in 2014.

Revenue for the quarter was flat at $39.6bn while full year revenue dipped to $152.4bn from $155.9bn.

“It was a strong year on many fronts, capped with record sales and earnings, and a substantial return of capital to our shareholders,” said chairman and chief exec Mary Barra.

“We continue to strengthen our core business, which is laying the foundation for the company to lead in the transformation of personal mobility. We believe the opportunities this will create in connectivity, autonomous, car-sharing and electrification will set the stage for driving value for our owners for years to come.”

The company forecast an increase in earnings per share, excluding one-time items, during this year and expects it to grow to between $5.25 and $5.75 from $5.02 a share in 2015.

GM expects to cut operating costs by $5.5bn by 2018, and return $16bn to shareholders in dividends and share buybacks over that time.

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