Get moving

23 July 2015 By Kevin Allison

Bumper second-quarter results in America and China show that CEO Mary Barra is getting the carmaker in the right gear. She can’t hit cruise control yet. But the stock is trading below the 2010 IPO price and at a big discount to rival Ford. GM deserves a bit more shareholder love.

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General Motors on July 23 reported second-quarter net income attributable to common shareholders of $1.1 billion, or 67 cents a share, due to robust profit margins driven by North American truck sales and continued strength in China.

Earnings were $1.29 a share after stripping out several one-off charges, beating the consensus estimate of sell-side analysts of $1.08 a share.

Profit rose despite declining global vehicle deliveries and a 3.5 percent decline in worldwide revenue that was more than explained by foreign exchange swings.

GM’s North America operating margin hit a record 10.5 percent in the three months to June.

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