General Motors 3Q profit falls 14% - WNEM TV 5

General Motors 3Q profit falls 14%

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DETROIT, MI (WNEM/AP) -

General Motors said its third-quarter profit fell 14 percent as losses grew in Europe and North American warranty costs cut into earnings.

The company said its profit, or net income, was $1.48 billion from July through September, down from $1.74 billion a year earlier.

GM's diluted earnings per share was 89 cents compared with $1.03 in the same period last year. Revenue grew 2.5 percent to $37.6 billion.

Excluding one-time items, GM made 93 cents per share, easily beating Wall Street expectations of 60 cents per share.

"GM had a solid quarter because customers around the world love our new vehicles and we're also seeing green shoots take hold on tough issues like complexity reduction, pensions and Europe," said Chairman and CEO Dan Akerson.

Operations in Europe continue to be impacted by a sluggish economy. The nation's largest automaker reported pre-tax losses in Europe of $500 million, compared with $300 million during the same period last year.  

GM predicted further European losses this year but expects to break even there by mid-decade.

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