Printer Friendly

GMAC POSTS STRONG 1992 EARNINGS RESULTS

 DETROIT, Feb. 10 /PRNewswire/ -- General Motors Acceptance Corporation's 1992 consolidated net income, excluding special factors, totaled $1,236.8 million, Chairman Robert T. O'Connell reported today. On a comparable basis, 1991 consolidated GMAC net income totaled $1,209.1 million.
 "Outstanding efforts by the entire GMAC organization resulted in calendar year earnings that exceeded the $1 billion level for the eighth straight year, excluding the impact of a new accounting standard implemented in 1992," Mr. O'Connell said. "Importantly, GMAC's 1992 performance was achieved in a year of challenging events and significant change for the GMAC worldwide organization." During the year, GMAC's operating results were aided by strong earnings from GMAC's international, insurance and mortgage operations.
 On a reported basis, GMAC's 1992 consolidated net income totaled $936.1 million. GMAC's 1992 consolidated net income reflected the effect of the new Statement of Financial Accounting Standards Number 106 (SFAS No. 106) -- also known as Employers' Accounting for Postretirement Benefits Other Than Pensions. This accounting standard change was adopted effective Jan. 1, 1992.
 Adoption of SFAS No. 106 unfavorably impacted GMAC's net income by $300.7 million, of which $282.6 million represents a one-time transition obligation charge for past years. The ongoing incremental annual after- tax impact of SFAS No. 106 for 1992 amounted to $18.1 million and represents the difference in expense determined under the accrual accounting basis versus the previous pay-as-you-go accounting basis. In 1991, reported income of $1,369.7 million included a $331.5 million favorable net effect from the adoption of SFAS No. 109, Statement on Accounting for Income Taxes, and a special $275.0 million wholesale loss provision ($170.9 million after-tax).
 Income from financing operations, including mortgage results, totaled $1,028.0 million in 1992 (excluding the $249.2 million unfavorable impact of SFAS No. 106). These 1992 results were essentially flat relative to the $1,036.7 million earned in 1991 (excluding the $299.1 million favorable impact of SFAS No. 109 and the $170.9 million unfavorable impact from its special one time wholesale loss provision). Mr. O'Connell noted that the principal factors affecting income in 1992 were reduced net interest rate margins (including depreciation expense on vehicles under operating leases), substantially offset by improved loss trends, strong earnings from both GMAC's international and mortgage operations, and gains on sold receivables.
 Income from insurance operations rose 21 percent to $208.8 million in 1992 (excluding the $51.5 million unfavorable impact of SFAS No. 106). These results compare with $172.3 million in 1991 (excluding the $32.4 million favorable impact of SFAS No. 109). The increase was due to higher capital gains and improved underwriting results.
 In the United States, GMAC financed or leased 33 percent of new GM vehicles sold during 1992, compared with 35 percent during the previous year. GMAC financed or leased 1,649,000 new cars and trucks in the United States during 1992, compared with 1,710,000 during 1991. Outside the United States, 561,000 new vehicles were financed versus 572,000 a year ago.
 Retail installment, lease financing and leasing contracts purchased worldwide totaled $38.5 billion in 1992, up $1.6 billion from the corresponding 1991 period.
 GMAC is one of the largest financial services companies in the world. Since 1919, GMAC has extended more than $700 billion of retail credit to help consumers purchase or lease more than 127 million cars and trucks.
 -0- 2/10/93
 /CONTACT: L.A. Kosinski, 313-556-1022, or T.P. Sullivan, 313-556-1020, both of GMAC/
 (GM)


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

JG-DD -- DE009 -- 5058 02/10/93 10:11 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Feb 10, 1993
Words:610
Previous Article:EDS REVENUES TOP $8 BILLION FOR FIRST TIME; NET INCOME ALSO HITS RECORD HIGH
Next Article:NOBILITY HOMES REPORTS 1992 EARNINGS
Topics:


Related Articles
GMAC'S 1991 EARNINGS EXCEED $1 BILLION FOR SEVENTH CONSECUTIVE YEAR
GMAC ANNOUNCES INCREASE IN SECOND-QUARTER CONSOLIDATED NET INCOME
GMAC POSTS 1993 THIRD QUARTER RESULTS
GMAC 1993 EARNINGS RESULTS
GMAC ANNOUNCES HIGHEST EARNINGS SINCE MID-1993
GMAC ANNOUNCES INCREASED SECOND-QUARTER EARNINGS
GMAC Announces Highest Earnings In Five Years
GMAC Announces Strong First-Quarter Earnings
GM Reports Record Annual Revenues of $176.6 Billion for 1999.
GM Reports Record Second-Quarter Revenue, Net Income and Earnings Per Share.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters