“General Motors Q1 2023 Results Beat Analysts’ Forecasts, Chevrolet Bolt EV to be Discontinued”

American automaker General Motors introduced results of its activities in the first quarter. The company reported revenue growth of 11% to $39.9 billion and a decrease in net income of 17% to $2.4 billion ($2.21 per share). According to these indicators, the company surpassed analysts’ forecasts, interviewed Refinitiv: $38.9 billion in revenue and $1.73 in earnings per share. On the back of better-than-expected first-quarter results, the company raised its full-year EBIT-adjusted earnings guidance from $10.5-12.5 billion to $11-13 billion.

During the conference call, the company also reportedthat the company’s first all-electric vehicle, the Chevrolet Bolt EV, will be discontinued this year. GM began production of the Chevrolet Bolt in November 2016 in an attempt to challenge Tesla with its budget-friendly Model 3, which was gaining popularity at the time. However, Model 3 sales are pretty soon. turned out to be several times higher than the Chevy Bolt. Nevertheless, for several years, Bolt continued to hold the 2nd place in the US in popularity among electric vehicles after Tesla, albeit by a wide margin. GM now plans to bet on the more modern Equinox, Blazer, Silverado EVs, expecting to be able to produce about 50,000 EVs in the first half of the year.

Despite these promises, after the release of the quarterly report and the announcement of the imminent closure of production of the Bolt line, GM shares fell in price by 3%.

Evgeniy Khvostik