GM Declares Net Income of $7.6 Billion for 2011

General Motors posted a $7.6 billion net income for 2011 today, which is a 61% increase compared to 2010's $4.7 Billion income. 

“In our first full year as a public company, we grew the top and bottom lines, advanced our global market share and made strategic investments in our brands around the world. We will build on these results as we bring more new cars, crossovers and trucks to market, and make GM a far more efficient global team.  This includes reducing our break-even level in Europe and South America and driving higher revenues around the world,” said Dan Akerson, chairman and CEO.

GM North America made $7.2 billion in earnings before taxes and interest (EBIT) in 2011 compared to $5.7 billion EBIT in 2010. It actually lost $0.7 billion in Europe, which GM counted as a success, because it lost $1.3 billion in Europe in 2010. It also lost $0.1 billion in South America compared to $0.8 billion in 2010. In the rest of the world GM made $1.9 billion EBIT compared to $2.3 billion EBIT in 2010.

GM has a total liquidity of $37.5 billion.

GM is looking forward to a successful 2012. “Behind the scenes, we are working hard to eliminate complexity and cost throughout the organization to increase margins in all of our regions, and return Europe and South America to profitability.  Overall, we have made good progress and we have more work to do,” said Dan Ammann, senior vice president and CFO.