Post-hitting its goal of producing 50K EVs in the first half of 2023. General Motors (GM) reveals that they looking forward the momentum to continuing in the second half of the year. Essentially, GM CEO Marry Barra disclosed that an Ultium-based Bolt EV (Boltium) is debuting soon.
GM beats Q2 records
General Motors declared its Q2 earnings recently prior to the market opening. The result shows a 52% increase in net income YOY to $2.54B respectively. The automaker also reveals about the enhancement came after a reduction in costs, along with stronger vehicle sales during the quarter. EBIT (Earnings before interest and taxes) achieve at $3.2B. This results in the charge of $792 for the new commercial agreements with LG Electronics and LG Energy Solution respectively.
Ultium-based Bolt EV coming soon
The company also disclosed that it took an unintentional similar charge of $792 million. This is due to the costs that come with the Chevy Bolt EV and EUV recall. On Bolt EV, Barra confirmed in regards to the GM earnings call that Bolt EV will live on. After the first quarter, Barra said GM was ending production of the Bolt EV, in order to keep their focus on its Ultum-based EVs. Although, the decision made disappointed many people.
GM has teased the idea of an Ultium-based over the past months. Whereas, Barra claimed it for the first time with respect to the automaker’s Q2 earnings call. As per the company leaders, it will significantly minimize expenses and streamline production with its upcoming new Bolt EV.
GM continuously raises the EVs making
It is also been said that the automaker hit its goal of making 50,000 EVs in the first half of the year. At the same time, it is expected to keep the momentum in order to achieve the target of 100,000 in the second half of the year. While it is predicted to improve the numbers to 200,000 vehicles in 2024.
Even with lagging Ultium sales, Barra says that the chain is improvising, and thus more EVs were in transit at the end of June. As per Barra, the demand is always on the higher side for EVs, whereas the company has its focus on the related supply chain issues.
Moving ahead, GM is launching six new EVs in the second half of the year. The range includes Chevy Silverado EV WT, Chevy Blazer EV, Chevy Equinox EV, Chevy Silverado EV RST First Edition, Brighdrop Zevo 400, and the Cadillac CELESTIQ.
Following posting the surprisingly well results in Q2, the company is raising full-year financial guidance. Also by doing cost cutting, they intended to adjust the earnings for the year to be approx figure of $12B to $14B, up from $11B to $13B.
However, this is contingent on GM negotiating labor union deals without a strike or delay. Barra said, “We have a long history of negotiating fair contracts with both unions that reward our employees and support the long-term success of our business. Our goal this time will be no different.”