GM Q3 profit drops amid semiconductor crunch

GM said net income dropped to US$2.4 billion in the quarter ended September 30, from just over US$4 billion in the same three months of 2020. — Reuters pic
GM said net income dropped to US$2.4 billion in the quarter ended September 30, from just over US$4 billion in the same three months of 2020. — Reuters pic

Follow us on Instagram and subscribe to our Telegram channel for the latest updates.


NEW YORK, Oct 27 — General Motors said today its third quarter profit fell amid a semiconductor shortage that has hit auto sales, but that it remains optimistic about the year.

GM said net income dropped to US$2.4 billion (RM10 billion) in the quarter ended September 30, from just over US$4 billion in the same three months of 2020.

“The quarter was challenging due to continuing semiconductor pressures,” GM chief Mary Barra said in a letter to shareholders.

The scarcity of computer chips as the global economy emerges from pandemic shutdowns has hit automakers worldwide, forcing some to scale back production.

The US auto giant saw sales fall in all regions and across all brands.

But Barra said the automaker expects full-year results to be near “the high end” of the projected range of US$11.5 billion to US$13.5 billion.

The first nine months of the year generated a profit of US$8.3 billion, more than double the US$3.6 billion gain in the pandemic months of last year, the company said. — AFP

You May Also Like

Related Articles