GM delivered its October surprise by posting what Reuters calls “a surprisingly strong profit.” In a bit of a hail Mary pass, GM said it is targeting a return to break-even levels in Europe by mid-decade.
GM’s third-quarter net income fell to $1.48 billion from $1.74 billion a year earlier. Excluding one-time items, GM earned 93 cents a share, surprising analysts who expected only 60 cents.
In Europe, GM expects a full-year operating loss of $1.5 billion to $1.8 billion, depending on what restructuring costs will be in the fourth quarter. GM hopes for slightly better European results in 2013, and to reach break-even there by mid-decade. Hope springs eternal, especially in the week before the elections.