General Motors exceeded its revised earnings targets for 2021, reporting EBIT-adjusted income of $14.3 billion on revenue of $127 billion: both substantial improvements over 2020’s results.
The company’s net income for the full year was $10 billion, for a margin of 7.9 percent, while its diluted earnings per share came in at $6.70. The EBIT-adjusted margin was 11.3% and EPS-diluted-adjusted of $7.07. GM’s full-year net income, EBIT-adjusted, EBIT-adjusted margin and EPS measures are all records.
GM’s fourth-quarter results include net income of $1.7 billion, net income margin of 5.2%, EPS-diluted of $1.16, EPS-diluted-adjusted of $1.35, EBIT-adjusted of $2.8 billion and EBIT-adjusted margin of 8.5%.
“Our record 2021 results were made possible by the entire GM team, including GM Financial, our union partners, suppliers and dealers, and our joint venture partners in China,” said Mary Barra, GM chairman and CEO, in a letter to shareholders.
“They simultaneously accelerated our transformation, managed supply chain issues and delivered full-size pickup and full-size SUV sales leadership in the U.S., the best-selling EV in China, and record results at GM Financial.”
High expectations for 2022
“With an improving outlook for semiconductors in the U.S. and China, we expect our 2022 results will remain strong,” Barra said.
The company expects full-year 2022 net income to be in a range of $9.4 billion-$10.8 billion and EBIT- adjusted to be in a range of $13 billion-$15 billion, “assuming continued steady demand for new vehicles and no significant new economic or supply chain challenges,” the company said.
Part of that optimism comes from the fact GM is now beginning to deliver some of the pricey EVs it’s been heavily investing in for several years, starting with the GMC Hummer SUV. It’s commercial electric truck subsidiary, BrightDrop, is also delivering vehicles to customers as well.
“The next Ultium-based EV to launch is the stunning Cadillac Lyriq SUV,” she said in the letter. “Customer interest in the Lyriq is now so strong that we will forgo a new round of reservations and begin taking customer orders soon after the Debut Edition launches in March.”
