General Motors Co. reported mixed quarterly results, relying heavily on sales of large pickups in its home market.
The Detroit-based automaker said today that it generated a second-quarter profit of $2.42 billion, up from $2.39 billion a year earlier. The profit was $1.66 a share, the same as 2018’s second quarter.
Adjusted earnings, which exclude some costs, totaled $3.01 billion, down from $3.19 billion. Adjusted per-share earnings were $1.64. That was down from $1.81 a year earlier. However, it beat the forecast of $1.44 a share by analysts surveyed by Reuters.
Revenue for the quarter fell 1.9% from a year earlier to $36.1 billion.
The results also followed a familiar pattern. GM relied on its home North American market for profit, especially its line of full-size pickups.
The largest U.S.-based automaker is rolling out redesigned versions of its Chevrolet Silverado and GMC Sierra. Production of all cab styles began in March. The company launched redesigned heavy-duty pickups in June.
“Our results demonstrate the earnings power of our full-size truck franchise, with more upside to come.,” Chief Executive Officer Mary Barra said in a statement.
Pickups are the biggest source of profit for GM, Ford Motor Co. and FCA US LLC. The three automakers also have mostly exited cars to concentrate on more profitable sport-utility vehicles and crossovers.
GM’s North American unit posted a $3 billion profit for the quarter, up from $2.67 billion a year earlier. The company’s international operations lost $48 million. GM Cruise, its self-driving vehicle business, recorded a loss of $279 million.
The company views self-driving vehicles as a big part of its future. It’s using profits from trucks to help finance investments in self-driving vehicles.
The automaker said last month it’s delaying deployment of a fleet of self-driving cars for a ride-sharing service in San Francisco. GM had said the vehicles would be in service by the end of this year. GM said more testing is necessary.
“We will be significantly increasing our testing and validation miles over the balance of this year, which has the effect of carrying the timing of fully driverless deployment beyond the end of the year,” Dan Ammann, CEO of GM Cruise, wrote in a July 24 blog post.