Click the arrow to "Blue Text" and follow us!!
In fact, there are not many unprofitable brands among international automakers. Although there were all kinds of rumors online, when General Motors (NYSE: GM) officially announced its full-year 2024 financial results, all the rumors collapsed on their own: in fiscal year 2024, GM's full-year net revenue reached $187.4 billion (calculated at the February 7 exchange rate, approximately RMB 1,365.6213 billion), setting a record high in financial performance.
Not only that, GM's business in the Chinese market also turned profitable in the fourth quarter of fiscal year 2024. With the arrival of the delivery season for more new models and two new vehicles under Durant Guild, everything is developing toward a better trend.
At the same time as GM released its financial results, GM Chair and Chief Executive Officer Mary Barra wrote to shareholders: "With an attractive product portfolio in scalable and growth segments, combined with strong execution and disciplined management, we achieved record highs for the full year in adjusted EBIT, adjusted automotive free cash flow, and adjusted diluted earnings per share."
Shareholders should all be very happy, because the final investment returns for the entire fiscal year were also higher than previously expected.
GM's core data for fiscal year 2024 show: fiscal year 2024 net revenue of $187.4 billion, an increase of more than 9% compared with fiscal year 2023. Net income reached $6 billion, and adjusted EBIT reached $14.9 billion - the latter basically reached the top end of expectations.
Adjusted diluted earnings per share reached $10.6, higher than the previously expected $9-10, and adjusted automotive free cash flow reached $14 billion. GM pointed out in its financial report that in 2024, GM ranked first in total sales, retail sales, fleet sales, full-size SUVs, and full-size pickups.
Looking at its models, products such as the all-new Chevrolet TAHOE, Chevrolet SUBURBAN, and GMC YUKON consolidated GM's leadership in the full-size market, with a combined market share of 67%, making it a well-deserved leader in full-size SUVs.
It is worth noting in particular that not only do full-size SUVs continue to sell well in the U.S. market, but in the Chinese market, the all-new Chevrolet TAHOE and GMC YUKON introduced through the Durant Guild platform have also entered the new-vehicle delivery season.
In the luxury vehicle market, the Cadillac Escalade has remained the top-selling luxury large SUV for the 11th consecutive year. In addition, in 2024 GM also launched mainstream SUV products such as the all-new Chevrolet Equinox (available in the Chinese market), Chevrolet Traverse, and GMC Acadia, and expects to continue strong sales momentum in 2025.
In addition, GM's electrification transformation also yielded abundant results in 2024: it achieved profitability on EVs in the fourth quarter, among which the Chevrolet Equinox EV has jumped into the top five on the U.S. EV sales chart. Next, the Cadillac Escalade IQ and OPTIQ will begin deliveries in the U.S. market in the fourth quarter, and VISTIQ will be launched in 2025, which will continue to strengthen its position in the luxury EV market.
In the Chinese market, GM's sales are steadily rising and achieved a turnaround to profitability in the fourth quarter of fiscal year 2024 - in the fourth quarter, GM's sales in the Chinese market increased by more than 40% quarter on quarter, achieving the largest single-quarter increase since the second quarter of 2022 and continuing the rebound momentum after the third quarter.
In addition, GM has adopted a combined approach in the Chinese market of reducing inventory, lowering costs, and improving product competitiveness, and has already seen significant results in the short term.
In sync with the U.S. market, GM is also accelerating electrification in the Chinese market and continuously improving its product lineup and sales structure. In China, GM has the most diverse and broad new energy product portfolio among global automakers, including battery electric vehicles and plug-in hybrid vehicles. New energy products accounted for nearly half of its full-year sales in the Chinese market, with a year-on-year increase of more than 50%.
In addition to the Durant Guild platform soon delivering the Chevrolet TAHOE and GMC YUKON, it also plans to bring more new vehicles in the new year. At the same time, the Cadillac, Buick, and Chevrolet brands have also planned multiple new vehicles for the new year, including battery electric and plug-in hybrid models, to continue driving the recovery of the Chinese market.
Author: Liu Ying LY
