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GM REPORTS FIRST-QUARTER EARNINGS

 DETROIT, April 29 /PRNewswire/ -- General Motors Corporation (NYSE: GM) today reported 1993 first-quarter consolidated income of $513 million.
 After preferred and preference stock dividend payments and the allocation of earnings attributable to GM Class E and Class H common stock, earnings per share on $1-2/3 par value common stock amounted to $0.42 per share.
 Income improved $680 million compared with the first quarter of 1992 when GM recorded a loss of $167 million excluding accounting changes. First-quarter results for both years reflect the ongoing non-cash expense related to the adoption of Statement of Financial Accounting Standards (SFAS) No. 106, which accounts for post-retirement employe benefits other than pensions -- $409 million in 1993 and $346 million in 1992.
 Sales and revenues totaled $35.0 billion during the period, an increase of 8.4 percent compared with the first quarter last year.
 "We're encouraged by our financial performance in the first quarter, but we recognize that this is just the first step in meeting our aggressive financial goals for this year and the future. We still have a long way to go before we are satisfied," GM Chief Executive Officer and President John F. Smith, Jr., said.
 "The results demonstrate the commitment of the men and women of GM to continue making quality improvements, while cutting costs," Mr. Smith said. "We won't let up as we continue to work toward our 1993 target, which is to break even this year in our North American Operations before interest, taxes and the non-cash effect of SFAS No. 106. Our first- quarter results are on a track consistent with achievement of this very aggressive objective."
 Total cash and marketable securities on hand at March 31, 1993, with GMAC on an equity basis, amounted to $8.4 billion, compared with $8.0 billion at December 31, 1992, and $4.7 billion at March 31, 1992.
 "We continue to see significant improvement in our cash flow, and it's vitally important that we continue this improvement. Strong cash flow is necessary to rebuild our balance sheet and fund our forward- product programs," Mr. Smith said.
 During the first quarter, GM vehicle deliveries worldwide were 1,792,400, compared with 1,903,600 in the same period last year, a decrease of 5.8 percent. Worldwide wholesale vehicle sales by GM totaled 2,017,000, a 6.6 percent increase from the first quarter last year.
 GM's major subsidiaries -- General Motors Acceptance Corporation (GMAC), GM Hughes Electronics Corporation, and Electronic Data Systems Corporation -- reported strong operating results in the first quarter, although GMAC's comparable earnings were below 1992 first-quarter levels. GM's International Automotive Operations were profitable during the period, but income was considerably below the 1992 period.
 Following are highlights of 1993 first-quarter financial performance by GM's major business sectors (see attached "Financial Summary" for additional details):
 NORTH AMERICAN OPERATIONS (NAO)
 NAO first-quarter earnings before interest, taxes and the ongoing non-cash effect of SFAS No. 106 were $525 million -- a $1.5 billion improvement from the first quarter of 1992. The loss attributable to automotive business in North America was $194 million in the first quarter, compared with a loss of $1.2 billion in the prior-year period.
 "The improving results show we're succeeding in a number of key areas, including implementing a lean manufacturing system, streamlining our business practices, improving productivity and executing our worldwide purchasing process, which is focused on reducing costs while improving quality and customer service," Mr. Smith said. "We are particularly pleased," he added, "with the performance of the Automotive Components Group, where our rationalization efforts are generating improved operating results."
 "The improved performance in our North American Operations in the first quarter shows that our plans to rebuild the competitiveness of these operations are on track. However, we still have much to do to achieve competitive levels of cost and productivity in North America," Mr. Smith said.
 GM's first-quarter share of the total U.S. vehicle market was 33.1 percent, compared with 34.6 percent in the same period last year. GM's share of total U.S. car deliveries was 34.1 percent, compared with 36.2 percent in the first quarter of 1992. GM's share of truck deliveries in the first quarter this year was 31.6 percent, slightly below the 31.8 percent share in the first quarter last year. Penetration in the 1993 first quarter reflected lower sales to fleet customers than during the same period a year ago.
 "Although our market share was down in the first quarter, we're encouraged by the higher penetration we've seen so far in April," Mr. Smith said.
 INTERNATIONAL AUTOMOTIVE BUSINESS
 GM's international automotive operations were profitable despite a continued downturn in Europe. Earnings in the first quarter totaled $165 million, compared with $482 million in the same period last year. In addition to European market weakness, the start-up for GM's new Corsa models adversely affected profitability.
 GENERAL MOTORS ACCEPTANCE CORPORATION (GMAC)
 GMAC's income totaled $284 million in the first quarter of 1993, compared with $349 million in the year-earlier period excluding the SFAS No. 106 accounting change. GMAC's results reflected actions previously taken to maintain a strong liquidity position.
 The decrease in earnings is attributed to reduced interest-rate margins, lower asset levels, reduced gains from receivable sales and lower income from insurance operations, partially offset by improved loss trends and strong earnings from GMAC's International Operations.
 GM HUGHES ELECTRONICS CORPORATION (GMHE)
 GMHE reported earnings of $189 million in the first quarter, compared with earnings of $169 million in the year-ago period excluding the effect of 1992 accounting changes.
 The first-quarter results reflect continued growth in GMHE-supplied automotive electronics, contributions from the missile business acquired in 1992 and ongoing cost-cutting efforts.
 The earnings attributable to GM Class H common stock amounted to $0.47 per share in the first quarter, compared with earnings of $0.41 per share in the 1992 first quarter excluding accounting changes.
 ELECTRONIC DATA SYSTEMS CORPORATION (EDS)
 EDS continued its strong financial performance, with record first- quarter earnings of $151 million, an increase of $18 million compared with the first quarter of 1992 when EDS reported earnings of $133 million.
 The EDS customer base grew during the first quarter as the GM subsidiary continued to expand its global presence and focus technical and human resources to meet the specific needs of individual customers.
 First-quarter earnings per share attributable to GM Class E common stock were $0.32, up from $0.28 in the first quarter of 1992.
 FINANCIAL SUMMARY
 (Dollars in Millions Except First Quarter
 ----------------------
 Per Share Amounts) 1993 1992
 ------------------ --------- ----------
 Sales and Revenues
 GM sales $31,472.7 $28,787.4
 GMAC financing revenues 2,267.8 2,552.7
 Other income 1,573.9 1,350.8
 Intersegment transactions (358.2) (433.9)
 -------- --------
 Total Net Sales and Revenues $34,956.2 $32,257.0
 -------- --------
 Income (Loss) Before Cumulative
 Effect of Accounting Changes $513.2 ($166.7)
 Net Income (Loss) $513.2 ($21,044.4)(1)
 Earnings (Loss) Attributable to Common Stocks
 $1-2/3 par value $300.5 ($21,039.2)(1)
 Class E $74.1 $55.5
 Class H $44.4 ($127.9)(1)
 Earnings (Loss) Per Share Attributable to Common Stocks
 $1-2/3 par value $0.42 ($33.96)(1)
 Class E $0.32 $0.28
 Class H $0.47 ($1.77)(1)
 Cash Dividends Per Share of Common Stocks
 $1-2/3 par value $0.20 $0.40
 Class E $0.10 $0.09
 Class H $0.18 $0.18
 Average Worldwide Employment (in 000s)
 GM (excluding units listed
 below) 548 572
 GMAC 19 19
 EDS 72 70
 GMHE 87 90
 --- ---
 Average Number of Employes 726 751
 Worldwide Payrolls $7,521.3 $7,444.4
 Worldwide Wholesale Sales (2) (Units in 000s)
 United States: Cars 740 678
 Trucks 478 385
 ----- -----
 Total United States 1,218 1,063
 Other North America 131 129
 ----- -----
 Total North America 1,349 1,192
 Overseas 668 700
 ----- -----
 Total All Sources 2,017 1,892
 ----- -----
 Certain 1992 amounts were reclassified to conform with 1993
 classifications.
 (1) Includes the unfavorable effect of accounting changes
 (primarily SFAS No. 106) of $20,877.7 million
 ($20,720.1 million, or $33.43 per share, applicable to
 $1-2/3 par value and $157.6 million, or $2.18 per share,
 applicable to Class H common stock.)
 (2) Effective January 1, 1993, GM changed its vehicle unit
 sales reporting policy from Factory Sales (where produced)
 to Wholesale Sales (where sold) to more effectively track
 dollar sales. Also included in Wholesale Sales are the
 sales of certain affiliates which were previously not
 included.
 FINANCIAL SUMMARY (concluded)
 (Dollars in Millions)
 First Quarter
 ------------------
 Major Business Sector Results 1993 1992
 ----- -----
 North American Automotive Business (Geographic Basis)
 NAO EBIT* $525.4 ($992.0)
 Interest, Taxes & Other
 Adjustments (719.1) (244.6)
 ----- -------
 Loss Before Accounting Change (193.7) (1,236.6)
 Cumulative Effect Accounting Change - (18,934.1)
 ----- --------
 Loss ($193.7)($20,170.7)
 ----- --------
 International Automotive Business (Geographic Basis)
 Income $164.6 $481.9
 ----- --------
 GMAC
 Income Before Accounting
 Change $284.1 $349.1
 Cumulative Effect Accounting
 Change - (282.6)
 ----- --------
 Income $284.1 $66.5
 ----- --------
 GMHE
 Earnings Before Accounting
 Changes $189.3 $169.4
 Cumulative Effect Accounting
 Changes - (872.1)
 ----- --------
 Earnings (Loss) $189.3 ($702.7)
 ----- --------
 EDS
 Earnings $151.4 $133.1
 ----- --------
 Other**
 Loss Before Accounting
 Change ($82.5) ($63.6)
 Cumulative Effect Accounting
 Change - (788.9)
 ----- --------
 Loss ($82.5) ($852.5)
 ----- --------
 Consolidated Net Income (CNI)
 (Loss) $513.2 ($21,044.4)
 ===== ========
 Memo: CNI (Loss) Excluding Cumulative
 Effect Accounting Changes $513.2 ($166.7)
 ===== ========
 * EBIT is defined as NAO Earnings (Loss) Before Interest,
 Taxes & Incremental Ongoing SFAS No. 106
 ** Includes Power Products & Defense and purchase accounting
 adjustments
 -0- 4/29/93
 /CONTACT: Mark A. Tanner of General Motors, 313-556-2019/
 (GM)


CO: General Motors Corporation ST: Michigan IN: AUT SU: ERN

ML-DH -- DE002 -- 2458 04/29/93 08:51 EDT
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