UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549-1004
___________________
FORM 8-K
___________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) July 25, 2017
___________________
GENERAL MOTORS COMPANY
(Exact name of registrant as specified in its charter)
___________________
DELAWARE (State or other jurisdiction of incorporation) | 001-34960 (Commission File Number) | 27-0756180 (I.R.S. Employer Identification No.) | |
300 Renaissance Center, Detroit, Michigan (Address of principal executive offices) | 48265-3000 (Zip Code) | ||
(313) 556-5000
(Registrant's telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
___________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17-CFR 240.14a-12) | |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |
ITEM 2.02 Results of Operations and Financial Condition
On July 25, 2017 General Motors Company (GM) issued a news release and supplemental materials on the subject of its 2017 second quarter earnings. The news release and supplemental materials are attached as Exhibit 99.1 and Exhibit 99.2.
Charts furnished to securities analysts in connection with GM's 2017 second quarter earnings release are available on GM's website at www.gm.com/investors/earnings-releases.html.
ITEM 9.01 Financial Statements and Exhibits
EXHIBIT
Exhibit | Description |
Exhibit 99.1 | News Release Dated July 25, 2017 |
Exhibit 99.2 | Financial Highlights Dated July 25, 2017 |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
GENERAL MOTORS COMPANY (Registrant) | ||
/s/ THOMAS S. TIMKO | ||
Date: July 25, 2017 | By: | Thomas S. Timko Vice President, Controller, Chief Accounting Officer and Global Business Services |
SECOND-QUARTER 2017 EARNINGS
FROM CONTINUING OPERATIONS
EBIT-Adj. Margin EBIT-Adj. Adj. Auto FCF EPS Diluted-Adj.
Non-GAAP 10.0% $3.7 B $2.6 B $1.89
Vs. Q2 2016 (0.3) pts (4.3) % ($0.7) B +5.6 %
Q 2 2 0 1 7 R E S U LT S O V E R V I E W
GM Reports Net Revenue of
$37 Billion and Income of
$2.4 Billion from
Continuing Operations
• EPS-diluted of $1.60, down 8 percent; EPS diluted-
adjusted of $1.89, up 5.6 percent
• EBIT-adjusted of $3.7 billion and EBIT-adjusted
margin of 10.0 percent
• North America EBIT-adjusted of $3.5 billion, and
EBIT-adjusted margin of 12.2 percent
Net Revenue Income Auto Operating Cash Flow EPS-Diluted
GAAP $37.0 B $2.4 B $5.1 B $1.60
Vs. Q2 2016 (1.1) % (11.3) % +$0.3 B (8.0) %
“Disciplined and relentless focus on improving our business performance led to a strong quarter and very solid rst half of the year. We will continue transforming GM to capitalize on growth opportunities and deliver even more value for our shareholders.”
– Mary Barra, Chairman & CEO
RESTRUCTURING
I n M a y , G M a n n o u n c e d k e y
r e s t r u c t u r i n g a c t i o n s i n G M ’s
International operations to focus GM
India on export manufacturing and the
t r a n s i t i o n o f G M S o u t h A f r i c a
manufacturing to Isuzu Motors. The
Chevrolet brand will be phased out of
both markets by the end of 2017.
With these actions and the pending sale
of GM’s Opel / Vauxhall brands and GM
Financial’s European operations to PSA
Group, GM believes it is now in the right
markets to capitalize on its higher-
return franchises and long-term growth
opportunities, including reshaping the
future of personal mobility.
GM will continue to target operational
improvements by market and product
segment to increase its competitiveness
a n d d r i v e s t r o n g e r b u s i n e s s
performance.
In the second quarter, GM delivered
725,000 total vehicles in the United
States, driven by a 24-percent increase
in retail crossover sales. The Q2
crossover results are the best in GM
history.
GM’s U.S. daily rental sales were 6
percent of total vehicle sales in Q2, the
lowest of any full-line automaker.
Daily rental sales were down about
25,000 vehicles or 35 percent compared
to Q2 2016.
Q2 VEHICLE SALES
For more details on second-quarter
sales, click here.
In China, GM deliveries of 852,000
vehicles set a second-quarter record,
up 1.6 percent compared to Q2 2016.
Strong sales of Cadillac and Baojun
vehicles led the way, up 62 percent and
66 percent, respectively.
South America delivered 160,000
vehicles in the quarter, up 18 percent,
compared to industry growth of 13
percent.
2017 Cadillac XT5
FROM CONTINUING OPERATIONS
2018 Chevrolet Equinox
Exhibit 99.1
North America International Ops South America GM Financial (EBT)
Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Q2 16
3.5 3.7 0.3 0.2 (0.0) (0.1) 0.4 0.2
Improved mix and cost
eciencies largely oset lower
volumes, price and FX, and drove
strong EBIT-adjusted and an
EBIT-adjusted margin of 12.2
percent.
Improved volume drove
China JV equity income of
$0.5 billion.
Despite challenging macro
economic conditions,
GMSA posted year-over-
year improvement to break
even.
Achieved 12 percent EBT
margin on record $3 billion
in revenue. Continued
strong growth of earnings
assets, up 38 percent YOY.
“Strong results in North America and China, solid improvement in South America and continued growth of GM Financial drove another strong quarter. With an aggressive launch cadence still ahead this year, we are on track to meet our nancial commitments for 2017.”
– Chuck Stevens, Executive Vice President and CFO
S E G M E N T R E S U LT S ( E B I T- A D J U ST E D F R O M C O N T I N U I N G O P E R AT I O N S - $ B )
2018 GMC Terrain SLT
Q2 17 Q2 16
Cash and Current Marketable Securities 20.5 20.1
Total Auto Liquidity 34.6 34.3
In the second quarter of 2017, GM paid
$0.6 billion in common stock dividends
and repurchased $1.5 billion of common
stock. For the full year GM expects to
return up to $7 billion to shareholders
through common stock dividends and
share buybacks.
CAPITAL RETURN
TECHNOLOGY AND INNOVATION
2017 Chevrolet Bolt EV
In June, GM became the rst company
to use mass-production methods to
build 130 autonomous Chevrolet Bolt
EV test vehicles, growing its self-
driving test eet to 180.
2017 VEHICLE LAUNCHES
CASH AND LIQUIDITY FROM CONTINUING OPERATIONS ($B)
For the first six months of the year,
crossover segments grew faster than
any other segment in the U.S. Through
June, U.S. industry crossover retail
sales grew 9 percent compared to 2016.
2018 Chevrolet Traverse
In preparation for the fall introduction
of Super Cruise on the Cadillac CT6,
GM engineers have logged roughly
160,000 miles of U.S. and Canadian
highway driving as part of nal
validation for the system.
Also in June, GM launched Maven Gig
in San Diego and San Francisco to give
drivers access to Chevrolet Bolt EVs for
performing freelance services such as
package delivery and ride sharing.
In the second half of 2017, GM China
plans to introduce 10 new and
refreshed models.
Later this year, Chevrolet will introduce
the Equinox SUV in the fast-growing
compact SUV market in Brazil.
The company is well positioned to
continue capitalizing on this trend with
the launches of the GMC Terrain,
Chevrolet Traverse and Buick Enclave
through the end of the year. Chevrolet
will also introduce the Bolt EV in U.S.
markets nationwide by August 1.
2018 Buick Enclave Avenir
Cautionary Note on Forward-Looking Statements.
This press release and related comments by management may include forward-looking statements. These statements are based on current expectations
about possible future events and thus are inherently uncertain. Our actual results may dier materially from forward-looking statements due to a variety of
factors, including: (1) our ability to deliver new products, services and experiences that attract new, and are desired by existing, customers and to eectively
compete in autonomous, ride-sharing and transportation as a service; (2) sales of full-size pick-up trucks and SUVs, which may be aected by increases in
the price of oil; (3) the volatility of global sales and operations; (4) aggressive competition, including the impact of new market entrants; (5) changes in, or
the introduction of novel interpretations of, laws, regulations or policies particularly those relating to free trade agreements, tax rates and vehicle safety and
any government actions that may aect the production, licensing, distribution, pricing, or selling of our products; (6) our joint ventures, which we cannot
operate solely for our benet and over which we may have limited control; (7) compliance with laws and regulations applicable to our industry, including
those regarding fuel economy and emissions; (8) costs and risks associated with litigation and government investigations; (9) compliance with the terms of
the Deferred Prosecution Agreement; (10) our ability to maintain quality control over our vehicles and avoid recalls and the cost and eect on our reputation
and products; (11) the ability of suppliers to deliver parts, systems and components without disruption and on schedule; (12) our dependence on our
manufacturing facilities; (13) our ability to realize production eciencies and cost reductions; (14) our ability to successfully restructure operations in
various countries; (15) our ability to manage risks related to security breaches and other disruptions to vehicles, information technology networks and
systems; (16) our ability to develop captive nancing capability through GM Financial; (17) signicant increases in pension expense or projected pension
contributions; (18) signicant changes in the economic, political, and regulatory environment, market conditions, and foreign currency exchange rates; and
(19) uncertainties associated with the consummation of the sale of Opel/Vauxhall to the PSA Group, including satisfaction of the closing conditions. A
further list and description of these risks, uncertainties and other factors can be found in our Annual Report on Form 10-K for the scal year ended December
31, 2016, and our subsequent lings with the Securities and Exchange Commission.GM cautions readers not to place undue reliance on forward-looking
statements. GM undertakes no obligation to update publicly or otherwise revise any forward-looking statements.
General Motors Co. (NYSE: GM, TSX: GMM) and its partners produce vehicles in
30 countries, and the company has leadership positions in the world's largest
and fastest-growing automotive markets. GM, its subsidiaries and joint venture
entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden,
Jiefang, Opel, Vauxhall and Wuling brands. More information on the company
and its subsidiaries, including OnStar, a global leader in vehicle safety, security
and information services, can be found at http://www.gm.com.
Tom Henderson
GM Finance Communications
313-410-2704
tom.e.henderson@gm.com
Media Investors
CONTACTS
Michael Heifler
GM Investor Relations
313-418-0220
michael.heifler@gm.com
Exhibit 99.2
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
Unless otherwise indicated, General Motors Company's (GM) non-GAAP measures are related to our continuing operations and not our discontinued operations nor assets and liabilities held for sale. GM's non-GAAP measures include earnings before interest and taxes (EBIT)-adjusted, presented net of noncontrolling interests, earnings per share (EPS)-diluted-adjusted, return on invested capital-adjusted (ROIC-adjusted) and adjusted automotive free cash flow. GM's calculation of these non-GAAP measures may not be comparable to similarly titled measures of other companies due to potential differences between companies in the method of calculation. As a result, the use of these non-GAAP measures has limitations and should not be considered superior to, in isolation from, or as a substitute for, related U.S. GAAP measures.
These non-GAAP measures allow management and investors to view operating trends, perform analytical comparisons and benchmark performance between periods and among geographic regions to understand operating performance without regard to items we do not consider a component of our core operating performance. Furthermore, these non-GAAP measures allow investors the opportunity to measure and monitor our performance against our externally communicated targets and evaluate the investment decisions being made by management to improve ROIC-adjusted. Management uses these measures in its financial, investment and operational decision-making processes, for internal reporting and as part of its forecasting and budgeting processes. Further, our Board of Directors uses these and other measures as key metrics to determine management performance under our performance-based compensation plans. For these reasons we believe these non-GAAP measures are useful for our investors.
EBIT-adjusted is used by management and can be used by investors to review our consolidated operating results because it excludes automotive interest income, automotive interest expense and income taxes as well as certain additional adjustments that are not considered part of our core operations. Examples of adjustments to EBIT include but are not limited to impairment charges related to goodwill; impairment charges on long-lived assets and other exit costs resulting from strategic shifts in our operations or discrete market and business conditions; costs arising from the ignition switch recall and related legal matters; and certain currency devaluations associated with hyperinflationary economies. For EBIT-adjusted and our other non-GAAP measures, once we have made an adjustment in the current period for an item, we will also adjust the related non-GAAP measure in any future periods in which there is an impact from the item.
EPS-diluted-adjusted is used by management and can be used by investors to review our consolidated diluted earnings per share results on a consistent basis. EPS-diluted-adjusted is calculated as net income attributable to common stockholders-diluted less income (loss) from discontinued operations on an after-tax basis, adjustments noted above for EBIT-adjusted, gains or losses on the extinguishment of debt obligations on an after-tax basis and certain income tax adjustments divided by weighted-average common shares outstanding-diluted. Examples of income tax adjustments include the establishment or reversal of significant deferred tax asset valuation allowances.
ROIC-adjusted is used by management and can be used by investors to review our investment and capital allocation decisions. We define ROIC-adjusted as EBIT-adjusted for the trailing four quarters divided by ROIC-adjusted average net assets, which is considered to be the average equity balances adjusted for average automotive debt and interest liabilities, exclusive of capital leases; average automotive net pension and OPEB liabilities; and average automotive net income tax assets during the same period. Adjustments to the average equity balances exclude assets and liabilities classified as either assets held for sale or liabilities held for sale.
Adjusted automotive free cash flow is used by management and can be used by investors to review the liquidity of our automotive operations and to measure and monitor our performance against our capital allocation program and evaluate our automotive liquidity against the substantial cash requirements of our automotive operations. We measure adjusted automotive free cash flow as automotive operating cash flow from continuing operations less capital expenditures adjusted for management actions, primarily related to strengthening our balance sheet, such as prepayments of debt and discretionary contributions to employee benefit plans.
1
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following table reconciles segment profit (loss) to Net income attributable to common stockholders under U.S. GAAP (dollars in millions):
Three Months Ended | Six Months Ended | ||||||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||||||
Operating segments | |||||||||||||||
GM North America (GMNA) | $ | 3,475 | $ | 3,745 | $ | 6,946 | $ | 6,129 | |||||||
GM International Operations (GMIO) | 340 | 190 | 637 | 624 | |||||||||||
GM South America (GMSA) | (23 | ) | (118 | ) | (142 | ) | (182 | ) | |||||||
General Motors Financial Company, Inc. (GM Financial)(a) | 357 | 214 | 585 | 407 | |||||||||||
Total operating segments | 4,149 | 4,031 | 8,026 | 6,978 | |||||||||||
Corporate and eliminations(b) | (467 | ) | (185 | ) | (790 | ) | (390 | ) | |||||||
EBIT-adjusted | 3,682 | 3,846 | 7,236 | 6,588 | |||||||||||
Special items | |||||||||||||||
GMIO restructuring(c) | (460 | ) | — | (460 | ) | — | |||||||||
Venezuela deconsolidation(d) | (80 | ) | — | (80 | ) | — | |||||||||
Ignition switch recall and related legal matters(e) | (114 | ) | (115 | ) | (114 | ) | (175 | ) | |||||||
Total special items | (654 | ) | (115 | ) | (654 | ) | (175 | ) | |||||||
Automotive interest income | 68 | 50 | 125 | 94 | |||||||||||
Automotive interest expense | (132 | ) | (144 | ) | (279 | ) | (268 | ) | |||||||
Income tax expense | (534 | ) | (877 | ) | (1,321 | ) | (1,534 | ) | |||||||
Income from continuing operations(f) | 2,430 | 2,760 | 5,107 | 4,705 | |||||||||||
Income (loss) from discontinued operations, net of tax | (770 | ) | 106 | (839 | ) | 114 | |||||||||
Net income attributable to common stockholders | $ | 1,660 | $ | 2,866 | $ | 4,268 | $ | 4,819 | |||||||
__________
(a) | GM Financial amounts represent earnings before income taxes-adjusted. |
(b) | GM's automotive operations interest income and interest expense, Maven, corporate expenditures including autonomous vehicle-related engineering and other costs and certain nonsegment specific revenues and expenses are recorded centrally in Corporate. |
(c) | This adjustment was excluded because of a strategic decision to rationalize our core operations by exiting or significantly reducing our presence in various international markets to focus resources on opportunities expected to deliver higher returns. The adjustment primarily consists of asset impairments, sales incentives, inventory provisions, dealer restructuring, employee separations and other contract cancellation costs in India and South Africa. |
(d) | This adjustment was excluded because we ceased operations and terminated employment relationships in Venezuela due to causes beyond our control, which included adverse political and economic conditions, including the seizure of our manufacturing facility. |
(e) | These adjustments were excluded because of the unique events associated with the ignition switch recall. These events included the creation of the ignition switch recall compensation program, as well as various investigations, inquiries, and complaints from various constituents. |
(f) | Net of Net (income) loss attributable to noncontrolling interests. |
2
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following table reconciles Net income attributable to common stockholders under U.S. GAAP to EBIT-adjusted (dollars in millions):
Three Months Ended | |||||||||||||||||||||||||||||||
June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
2017 | 2016 | 2017 | 2016 | 2016 | 2015 | 2016 | 2015 | ||||||||||||||||||||||||
Net income attributable to common stockholders | $ | 1,660 | $ | 2,866 | $ | 2,608 | $ | 1,953 | $ | 1,835 | $ | 6,266 | $ | 2,773 | $ | 1,359 | |||||||||||||||
(Income) loss from discontinued operations, net of tax | 770 | (106 | ) | 69 | (8 | ) | 120 | 230 | (5 | ) | (123 | ) | |||||||||||||||||||
Income tax expense (benefit) | 534 | 877 | 787 | 657 | 303 | (3,139 | ) | 902 | 502 | ||||||||||||||||||||||
Gain on extinguishment of debt | — | — | — | — | — | (449 | ) | — | — | ||||||||||||||||||||||
Automotive interest expense | 132 | 144 | 147 | 124 | 150 | 109 | 145 | 107 | |||||||||||||||||||||||
Automotive interest income | (68 | ) | (50 | ) | (57 | ) | (44 | ) | (45 | ) | (40 | ) | (43 | ) | (37 | ) | |||||||||||||||
Adjustments | |||||||||||||||||||||||||||||||
GMIO restructuring(a) | 460 | — | — | — | — | — | — | — | |||||||||||||||||||||||
Venezuela deconsolidation(a) | 80 | — | — | — | — | — | — | — | |||||||||||||||||||||||
Ignition switch recall and related legal matters(a) | 114 | 115 | — | 60 | 235 | 60 | (110 | ) | 1,500 | ||||||||||||||||||||||
Other | — | — | — | — | — | (18 | ) | — | — | ||||||||||||||||||||||
Total adjustments | 654 | 115 | — | 60 | 235 | 42 | (110 | ) | 1,500 | ||||||||||||||||||||||
EBIT-adjusted | $ | 3,682 | $ | 3,846 | $ | 3,554 | $ | 2,742 | $ | 2,598 | $ | 3,019 | $ | 3,662 | $ | 3,308 | |||||||||||||||
________
(a) | Refer to the reconciliation of segment profit (loss) to Net income attributable to common stockholders under U.S. GAAP within the previous section for the details of each individual adjustment. |
3
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following table reconciles diluted earnings per common share under U.S. GAAP to EPS-diluted-adjusted (dollars in millions):
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||||||||||||||||||||||
Amount | Per Share | Amount | Per Share | Amount | Per Share | Amount | Per Share | ||||||||||||||||||||||||
Diluted earnings per common share | $ | 1,660 | $ | 1.09 | $ | 2,865 | $ | 1.81 | $ | 4,268 | $ | 2.80 | $ | 4,817 | $ | 3.05 | |||||||||||||||
Diluted (earnings) loss per common share – discontinued operations | 770 | 0.51 | (106 | ) | (0.07 | ) | 839 | 0.55 | (114 | ) | (0.07 | ) | |||||||||||||||||||
Adjustments(a) | 654 | 0.43 | 115 | 0.08 | 654 | 0.43 | 175 | 0.11 | |||||||||||||||||||||||
Tax effect on adjustments(b) | (208 | ) | (0.14 | ) | (43 | ) | (0.03 | ) | (208 | ) | (0.14 | ) | (66 | ) | (0.04 | ) | |||||||||||||||
EPS-diluted-adjusted | $ | 2,876 | $ | 1.89 | $ | 2,831 | $ | 1.79 | $ | 5,553 | $ | 3.64 | $ | 4,812 | $ | 3.05 | |||||||||||||||
________
(a) | Refer to the reconciliation of segment profit (loss) to Net income attributable to common stockholders under U.S. GAAP within the previous section for the details of each individual adjustment. |
(b) | The tax effect of each adjustment is determined based on the tax laws and valuation allowance status of the jurisdiction in which the adjustment relates. |
We define return on equity (ROE) as Net income attributable to common stockholders for the trailing four quarters divided by average equity for the same period. Management uses average equity to provide comparable amounts in the calculation of ROE. The following table summarizes the calculation of ROE (dollars in billions):
Four Quarters Ended | |||||||
June 30, 2017 | June 30, 2016 | ||||||
Net income attributable to common stockholders | $ | 8.9 | $ | 12.4 | |||
Average equity | $ | 45.1 | $ | 40.2 | |||
ROE | 19.7 | % | 31.0 | % | |||
The following table summarizes the calculation of ROIC-adjusted (dollars in billions):
Four Quarters Ended | |||||||
June 30, 2017 | June 30, 2016 | ||||||
EBIT-adjusted(a) | $ | 13.5 | $ | 12.9 | |||
Average equity | $ | 45.1 | $ | 40.2 | |||
Add: Average automotive debt and interest liabilities (excluding capital leases) | 10.0 | 8.9 | |||||
Add: Average automotive net pension & OPEB liability | 21.5 | 23.8 | |||||
Less: Average automotive net income tax asset | (32.2 | ) | (33.2 | ) | |||
ROIC-adjusted average net assets | $ | 44.4 | $ | 39.7 | |||
ROIC-adjusted | 30.4 | % | 32.5 | % | |||
________
(a) | Refer to the reconciliation of Net Income attributable to common stockholders under U.S. GAAP to EBIT-adjusted on the preceding page. |
4
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following table reconciles Net automotive cash provided by operating activities from continuing operations under U.S. GAAP to adjusted automotive free cash flow (dollars in millions):
Six Months Ended | |||||||
June 30, 2017 | June 30, 2016 | ||||||
Net automotive cash provided by operating activities – continuing operations | $ | 6,162 | $ | 3,704 | |||
Less: capital expenditures | (4,139 | ) | (3,994 | ) | |||
Adjustment – discretionary pension plan contributions | — | 1,982 | |||||
Adjusted automotive free cash flow – continuing operations | $ | 2,023 | $ | 1,692 | |||
Net automotive cash provided by operating activities – discontinued operations | 131 | 622 | |||||
Less: capital expenditures – discontinued operations | (516 | ) | (569 | ) | |||
Adjusted automotive free cash flow | $ | 1,638 | $ | 1,745 | |||
5
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following tables summarize key financial information by segment (dollars in millions):
GMNA | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | |||||||||||||||||||||||||||
Three Months Ended June 30, 2017 | |||||||||||||||||||||||||||||||||||
Net sales and revenue | $ | 28,437 | $ | 3,215 | $ | 2,297 | $ | 52 | $ | 34,001 | $ | 2,990 | $ | (7 | ) | $ | 36,984 | ||||||||||||||||||
Expenditures for property | $ | 2,307 | $ | 46 | $ | 71 | $ | 6 | $ | (1 | ) | $ | 2,429 | $ | 27 | $ | — | $ | 2,456 | ||||||||||||||||
Depreciation and amortization | $ | 1,187 | $ | 108 | $ | 70 | $ | 10 | $ | — | $ | 1,375 | $ | 1,586 | $ | — | $ | 2,961 | |||||||||||||||||
Impairment charges | $ | 34 | $ | 196 | $ | 3 | $ | — | $ | — | $ | 233 | $ | — | $ | — | $ | 233 | |||||||||||||||||
Equity income(a) | $ | 1 | $ | 487 | $ | — | $ | — | $ | — | $ | 488 | $ | 42 | $ | — | $ | 530 | |||||||||||||||||
GMNA | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | |||||||||||||||||||||||||||
Three Months Ended June 30, 2016 | |||||||||||||||||||||||||||||||||||
Net sales and revenue | $ | 30,222 | $ | 3,342 | $ | 1,639 | $ | 43 | $ | 35,246 | $ | 2,138 | $ | (1 | ) | $ | 37,383 | ||||||||||||||||||
Expenditures for property | $ | 1,748 | $ | 141 | $ | 107 | $ | 2 | $ | (1 | ) | $ | 1,997 | $ | 18 | $ | — | $ | 2,015 | ||||||||||||||||
Depreciation and amortization | $ | 1,073 | $ | 106 | $ | 70 | $ | 5 | $ | — | $ | 1,254 | $ | 1,117 | $ | — | $ | 2,371 | |||||||||||||||||
Impairment charges | $ | 30 | $ | 31 | $ | — | $ | — | $ | — | $ | 61 | $ | — | $ | — | $ | 61 | |||||||||||||||||
Equity income(a) | $ | 153 | $ | 469 | $ | — | $ | — | $ | — | $ | 622 | $ | 38 | $ | — | $ | 660 | |||||||||||||||||
GMNA | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | |||||||||||||||||||||||||||
Six Months Ended June 30, 2017 | |||||||||||||||||||||||||||||||||||
Net sales and revenue | $ | 57,775 | $ | 6,393 | $ | 4,257 | $ | 226 | $ | 68,651 | $ | 5,738 | $ | (139 | ) | $ | 74,250 | ||||||||||||||||||
Expenditures for property | $ | 3,835 | $ | 143 | $ | 154 | $ | 8 | $ | (1 | ) | $ | 4,139 | $ | 47 | $ | — | $ | 4,186 | ||||||||||||||||
Depreciation and amortization | $ | 2,289 | $ | 226 | $ | 143 | $ | 12 | $ | (1 | ) | $ | 2,669 | $ | 3,014 | $ | — | $ | 5,683 | ||||||||||||||||
Impairment charges | $ | 49 | $ | 197 | $ | 3 | $ | 5 | $ | — | $ | 254 | $ | — | $ | — | $ | 254 | |||||||||||||||||
Equity income(a) | $ | 6 | $ | 991 | $ | — | $ | — | $ | — | $ | 997 | $ | 88 | $ | — | $ | 1,085 | |||||||||||||||||
GMNA | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | |||||||||||||||||||||||||||
Six Months Ended June 30, 2016 | |||||||||||||||||||||||||||||||||||
Net sales and revenue | $ | 56,730 | $ | 6,547 | $ | 2,982 | $ | 73 | $ | 66,332 | $ | 4,069 | $ | (2 | ) | $ | 70,399 | ||||||||||||||||||
Expenditures for property | $ | 3,503 | $ | 294 | $ | 194 | $ | 5 | $ | (2 | ) | $ | 3,994 | $ | 38 | $ | — | $ | 4,032 | ||||||||||||||||
Depreciation and amortization | $ | 2,097 | $ | 214 | $ | 127 | $ | 10 | $ | (2 | ) | $ | 2,446 | $ | 2,041 | $ | — | $ | 4,487 | ||||||||||||||||
Impairment charges | $ | 41 | $ | 63 | $ | — | $ | — | $ | — | $ | 104 | $ | — | $ | — | $ | 104 | |||||||||||||||||
Equity income(a) | $ | 159 | $ | 987 | $ | — | $ | — | $ | — | $ | 1,146 | $ | 74 | $ | — | $ | 1,220 | |||||||||||||||||
________
(a) | Includes Automotive China equity income of $509 million and $471 million in the three months ended June 30, 2017 and 2016 and $1.0 billion in the six months ended June 30, 2017 and 2016. |
6
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
Vehicle Sales
GM presents both wholesale and retail vehicle sales data to assist in the analysis of its revenue and market share. GM does not currently export vehicles to Cuba, Iran, North Korea, Sudan or Syria. Accordingly, these countries are excluded from industry sales data and corresponding calculations of GM's market share.
Wholesale vehicle sales data (vehicles in thousands), which represents sales directly to dealers and others, including sales to fleet customers, is the measure that correlates to GM's revenue from the sale of vehicles, which is the largest component of Automotive net sales and revenue. Wholesale vehicle sales exclude vehicles sold by joint ventures. We have agreed to purchase from and supply to PSA Group certain vehicles for a period of time following the close of the Master Agreement. As a result, in GMIO wholesale vehicle sales include 46 and 35 vehicles related to transactions with the European Business for the three months ended June 30, 2017 and 2016 and include 94 and 70 vehicles for the six months ended June 30, 2017 and 2016. Changes in wholesale vehicle sales in GMNA and GMSA were insignificant for the three and six months ended June 30, 2017 and 2016. In the six months ended June 30, 2017, 37.5% of our wholesale vehicle sales volume was generated outside the U.S. The following table summarizes total wholesale vehicle sales of new vehicles by automotive segment:
Three Months Ended | Six Months Ended | ||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||
GMNA | 894 | 1,004 | 1,834 | 1,878 | |||||||
GMIO | 155 | 175 | 316 | 340 | |||||||
GMSA | 164 | 133 | 302 | 247 | |||||||
Total | 1,213 | 1,312 | 2,452 | 2,465 | |||||||
Discontinued operations | 303 | 335 | 606 | 636 | |||||||
7
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
Retail vehicle sales data, which represents sales to end customers based upon the good faith estimates of management, including sales to fleet customers, does not correlate directly to the revenue GM recognizes during the period. However retail vehicle sales data is indicative of the underlying demand for GM vehicles. Market share information is based primarily on retail vehicle sales volume. In countries where retail vehicle sales data is not readily available, other data sources such as wholesale or forecast volumes are used to estimate retail vehicle sales to end customers.
Retail vehicle sales data includes all sales by joint ventures on a total vehicle basis, not based on the percentage of ownership in the joint venture. Certain joint venture agreements in China allow for the contractual right to report vehicle sales of non-GM trademarked vehicles by those joint ventures. Retail vehicle sales data includes vehicles used by dealers under courtesy transportation programs and vehicles sold through the dealer registration channel primarily in Europe. This sales channel consists primarily of dealer demonstrator, loaner and self-registered vehicles which are not eligible to be sold as new vehicles after being registered by dealers. Certain fleet sales that are accounted for as operating leases are included in retail vehicle sales at the time of delivery to daily rental car companies. The following table summarizes total retail sales, or estimated sales where retail sales volume is not available, by geographic region (vehicles in thousands):
Three Months Ended | Six Months Ended | ||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||
United States | |||||||||||
Chevrolet – Cars | 157 | 200 | 311 | 373 | |||||||
Chevrolet – Trucks | 217 | 227 | 419 | 424 | |||||||
Chevrolet – Crossovers | 123 | 107 | 238 | 210 | |||||||
Cadillac | 38 | 38 | 72 | 73 | |||||||
Buick | 60 | 50 | 110 | 104 | |||||||
GMC | 130 | 133 | 264 | 255 | |||||||
Total United States | 725 | 755 | 1,414 | 1,439 | |||||||
Canada, Mexico and Other | 154 | 155 | 281 | 270 | |||||||
Total North America(a) | 879 | 910 | 1,695 | 1,709 | |||||||
Asia/Pacific, Middle East and Africa | |||||||||||
Chevrolet | 210 | 220 | 411 | 433 | |||||||
Wuling | 241 | 327 | 564 | 676 | |||||||
Buick | 275 | 276 | 525 | 561 | |||||||
Baojun | 188 | 113 | 391 | 329 | |||||||
Cadillac | 43 | 27 | 84 | 50 | |||||||
Other | 58 | 63 | 109 | 122 | |||||||
Total Asia/Pacific, Middle East and Africa(a)(b)(c) | 1,015 | 1,026 | 2,084 | 2,171 | |||||||
South America(a)(d) | 160 | 136 | 308 | 269 | |||||||
Total in GM markets | 2,054 | 2,072 | 4,087 | 4,149 | |||||||
Total Europe | 289 | 318 | 599 | 619 | |||||||
Total Worldwide | 2,343 | 2,390 | 4,686 | 4,768 | |||||||
_______
(a) | Sales of Opel/Vauxhall outside of Europe were insignificant in the three and six months ended June 30, 2017 and 2016. |
(b) | In the three months ended March 31, 2017, we began using estimated vehicle registrations data as the basis for calculating industry volumes and market share in China. In the three and six months ended June 30, 2016, wholesale volumes were used for Industry, GM and Market Share. |
(c) | Includes Industry and GM sales in India and South Africa. We intend to phase out sales of Chevrolet in the Indian and South African markets by the end of 2017. |
(d) | Primarily Chevrolet. |
8
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The vehicle sales at GM's China joint ventures presented in the following table are included in GM's retail vehicle sales on the preceding page (vehicles in thousands):
Three Months Ended | Six Months Ended | ||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||
SAIC General Motors Sales Co., Ltd.(a) | 424 | 398 | 810 | 810 | |||||||
SAIC GM Wuling Automobile Co., Ltd. and FAW-GM Light Duty Commercial Vehicle Co., Ltd.(a) | 428 | 441 | 956 | 1,005 | |||||||
Three Months Ended | Six Months Ended | ||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||
Market Share | |||||||||||
United States – Cars | 11.2 | % | 12.7 | % | 11.6 | % | 12.6 | % | |||
United States – Trucks | 24.4 | % | 26.2 | % | 24.8 | % | 25.7 | % | |||
United States – Crossovers | 14.5 | % | 12.6 | % | 14.8 | % | 13.2 | % | |||
Total United States | 16.1 | % | 16.3 | % | 16.4 | % | 16.3 | % | |||
Total North America | 15.7 | % | 16.0 | % | 16.0 | % | 15.9 | % | |||
Total Asia/Pacific, Russia, Middle East and Africa(a) | 9.0 | % | 9.0 | % | 9.1 | % | 9.3 | % | |||
Total South America | 15.9 | % | 15.2 | % | 15.8 | % | 15.4 | % | |||
Total GM Market | 11.5 | % | 11.5 | % | 11.5 | % | 11.6 | % | |||
Total Europe | 5.7 | % | 6.2 | % | 5.9 | % | 6.3 | % | |||
Total Worldwide | 10.2 | % | 10.3 | % | 10.3 | % | 10.5 | % | |||
United States fleet sales as a percentage of retail vehicle sales | 19.1 | % | 20.5 | % | 19.9 | % | 21.0 | % | |||
North America Capacity Two Shift Utilization | 103.6 | % | 107.5 | % | 104.9 | % | 102.3 | % | |||
_______
(a) | In the three months ended March 31, 2017, we began using estimated vehicle registrations data as the basis for calculating industry volume and market share in China. In the three and six months ended June 30, 2016, wholesale volumes were used for Industry, GM and Market Share. |
9
General Motors Company and Subsidiaries
Combining Income Statement Information
(In millions) (Unaudited)
Three Months Ended June 30, 2017 | Three Months Ended June 30, 2016 | |||||||||||||||||||||||||||||||
Automotive | GM Financial | Eliminations | Combined | Automotive | GM Financial | Eliminations | Combined | |||||||||||||||||||||||||
Net sales and revenue | ||||||||||||||||||||||||||||||||
Automotive | $ | 34,001 | $ | — | $ | (3 | ) | $ | 33,998 | $ | 35,246 | $ | — | $ | — | $ | 35,246 | |||||||||||||||
GM Financial | — | 2,990 | (4 | ) | 2,986 | — | 2,138 | (1 | ) | 2,137 | ||||||||||||||||||||||
Total net sales and revenue | 34,001 | 2,990 | (7 | ) | 36,984 | 35,246 | 2,138 | (1 | ) | 37,383 | ||||||||||||||||||||||
Costs and expenses | ||||||||||||||||||||||||||||||||
Automotive cost of sales | 29,216 | — | (4 | ) | 29,212 | 29,942 | — | (1 | ) | 29,941 | ||||||||||||||||||||||
GM Financial interest, operating and other expenses | — | 2,675 | — | 2,675 | — | 1,962 | — | 1,962 | ||||||||||||||||||||||||
Automotive selling, general and administrative expense | 2,479 | — | — | 2,479 | 2,508 | — | — | 2,508 | ||||||||||||||||||||||||
Total costs and expenses | 31,695 | 2,675 | (4 | ) | 34,366 | 32,450 | 1,962 | (1 | ) | 34,411 | ||||||||||||||||||||||
Operating income | 2,306 | 315 | (3 | ) | 2,618 | 2,796 | 176 | — | 2,972 | |||||||||||||||||||||||
Automotive interest expense | 135 | — | (3 | ) | 132 | 144 | — | — | 144 | |||||||||||||||||||||||
Interest income and other non-operating income (loss), net | (49 | ) | — | — | (49 | ) | 133 | — | — | 133 | ||||||||||||||||||||||
Equity income | 488 | 42 | — | 530 | 622 | 38 | — | 660 | ||||||||||||||||||||||||
Income before income taxes | 2,610 | 357 | — | 2,967 | 3,407 | 214 | — | 3,621 | ||||||||||||||||||||||||
Income tax expense | 436 | 98 | — | 534 | 870 | 7 | — | 877 | ||||||||||||||||||||||||
Income from continuing operations | 2,174 | 259 | — | 2,433 | 2,537 | 207 | — | 2,744 | ||||||||||||||||||||||||
Income (loss) from discontinued operations, net of tax | (561 | ) | (209 | ) | — | (770 | ) | 60 | 46 | — | 106 | |||||||||||||||||||||
Net income | 1,613 | 50 | — | 1,663 | 2,597 | 253 | — | 2,850 | ||||||||||||||||||||||||
Net (income) loss attributable to noncontrolling interests | (3 | ) | — | — | (3 | ) | 16 | — | — | 16 | ||||||||||||||||||||||
Net income attributable to common stockholders | $ | 1,610 | $ | 50 | $ | — | $ | 1,660 | $ | 2,613 | $ | 253 | $ | — | $ | 2,866 | ||||||||||||||||
Six Months Ended June 30, 2017 | Six Months Ended June 30, 2016 | |||||||||||||||||||||||||||||||
Automotive | GM Financial | Eliminations | Combined | Automotive | GM Financial | Eliminations | Combined | |||||||||||||||||||||||||
Net sales and revenue | ||||||||||||||||||||||||||||||||
Automotive | $ | 68,651 | $ | — | $ | (134 | ) | $ | 68,517 | $ | 66,332 | $ | — | $ | — | $ | 66,332 | |||||||||||||||
GM Financial | — | 5,738 | (5 | ) | 5,733 | — | 4,069 | (2 | ) | 4,067 | ||||||||||||||||||||||
Total net sales and revenue | 68,651 | 5,738 | (139 | ) | 74,250 | 66,332 | 4,069 | (2 | ) | 70,399 | ||||||||||||||||||||||
Costs and expenses | ||||||||||||||||||||||||||||||||
Automotive cost of sales | 58,786 | — | (136 | ) | 58,650 | 56,624 | — | (2 | ) | 56,622 | ||||||||||||||||||||||
GM Financial interest, operating and other expenses | 5,241 | — | 5,241 | — | 3,736 | — | 3,736 | |||||||||||||||||||||||||
Automotive selling, general and administrative expense | 4,837 | — | — | 4,837 | 4,978 | — | — | 4,978 | ||||||||||||||||||||||||
Total costs and expenses | 63,623 | 5,241 | (136 | ) | 68,728 | 61,602 | 3,736 | (2 | ) | 65,336 | ||||||||||||||||||||||
Operating income | 5,028 | 497 | (3 | ) | 5,522 | 4,730 | 333 | — | 5,063 | |||||||||||||||||||||||
Automotive interest expense | 282 | — | (3 | ) | 279 | 268 | — | — | 268 | |||||||||||||||||||||||
Interest income and other non-operating income, net | 112 | — | — | 112 | 186 | — | — | 186 | ||||||||||||||||||||||||
Equity income | 997 | 88 | — | 1,085 | 1,146 | 74 | — | 1,220 | ||||||||||||||||||||||||
Income before income taxes | 5,855 | 585 | — | 6,440 | 5,794 | 407 | — | 6,201 | ||||||||||||||||||||||||
Income tax expense | 1,176 | 145 | — | 1,321 | 1,473 | 61 | — | 1,534 | ||||||||||||||||||||||||
Income from continuing operations | 4,679 | 440 | — | 5,119 | 4,321 | 346 | — | 4,667 | ||||||||||||||||||||||||
Income (loss) from discontinued operations, net of tax | (654 | ) | (185 | ) | (839 | ) | 41 | 73 | — | 114 | ||||||||||||||||||||||
Net income | 4,025 | 255 | — | 4,280 | 4,362 | 419 | — | 4,781 | ||||||||||||||||||||||||
Net (income) loss attributable to noncontrolling interests | (12 | ) | — | — | (12 | ) | 38 | — | — | 38 | ||||||||||||||||||||||
Net income attributable to common stockholders | $ | 4,013 | $ | 255 | $ | — | $ | 4,268 | $ | 4,400 | $ | 419 | $ | — | $ | 4,819 | ||||||||||||||||
10
General Motors Company and Subsidiaries
Basic and Diluted Earnings per Share
(Unaudited)
The following table summarizes basic and diluted earnings per share (in millions, except per share amounts):
Three Months Ended | Six Months Ended | ||||||||||||||
June 30, 2017 | June 30, 2016 | June 30, 2017 | June 30, 2016 | ||||||||||||
Basic earnings per share | |||||||||||||||
Income from continuing operations(a) | $ | 2,430 | $ | 2,760 | $ | 5,107 | $ | 4,705 | |||||||
Income (loss) from discontinued operations, net of tax | (770 | ) | 106 | (839 | ) | 114 | |||||||||
Net income attributable to common stockholders | $ | 1,660 | $ | 2,866 | $ | 4,268 | $ | 4,819 | |||||||
Weighted-average common shares outstanding – basic | 1,497 | 1,548 | 1,501 | 1,547 | |||||||||||
Basic earnings per common share – continuing operations | $ | 1.62 | $ | 1.78 | $ | 3.40 | $ | 3.05 | |||||||
Basic earnings per common share – discontinued operations | $ | (0.51 | ) | $ | 0.07 | $ | (0.56 | ) | $ | 0.07 | |||||
Basic earnings per common share | $ | 1.11 | $ | 1.85 | $ | 2.84 | $ | 3.12 | |||||||
Diluted earnings per share | |||||||||||||||
Income from continuing operations – diluted(a) | $ | 2,430 | $ | 2,759 | $ | 5,107 | $ | 4,703 | |||||||
Income (loss) from discontinued operations, net of tax – diluted | (770 | ) | 106 | (839 | ) | 114 | |||||||||
Net income attributable to common stockholders – diluted | $ | 1,660 | $ | 2,865 | $ | 4,268 | $ | 4,817 | |||||||
Weighted-average common shares outstanding – diluted | 1,519 | 1,581 | 1,525 | 1,580 | |||||||||||
Diluted earnings per common share – continuing operations | $ | 1.60 | $ | 1.74 | $ | 3.35 | $ | 2.98 | |||||||
DIluted earnings per common share – discontinued operations | $ | (0.51 | ) | $ | 0.07 | $ | (0.55 | ) | $ | 0.07 | |||||
Diluted earnings per common share | $ | 1.09 | $ | 1.81 | $ | 2.80 | $ | 3.05 | |||||||
__________
(a) | Net of Net (income) loss attributable to noncontrolling interests. |
11
General Motors Company and Subsidiaries
Combining Balance Sheet Information
(In millions, except per share amounts) (Unaudited)
June 30, 2017 | December 31, 2016 | ||||||||||||||||||||||||||||||
Automotive | GM Financial | Eliminations | Combined | Automotive | GM Financial | Eliminations | Combined | ||||||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||||||
Current Assets | |||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 11,397 | $ | 5,201 | $ | — | $ | 16,598 | $ | 9,759 | $ | 2,815 | $ | — | $ | 12,574 | |||||||||||||||
Marketable securities | 9,133 | — | — | 9,133 | 11,841 | — | — | 11,841 | |||||||||||||||||||||||
Accounts and notes receivable, net(a) | 9,706 | 745 | (655 | ) | 9,796 | 8,568 | 801 | (669 | ) | 8,700 | |||||||||||||||||||||
GM Financial receivables, net(b) | — | 19,665 | (369 | ) | 19,296 | — | 16,474 | (347 | ) | 16,127 | |||||||||||||||||||||
Inventories | 11,289 | — | — | 11,289 | 11,040 | — | — | 11,040 | |||||||||||||||||||||||
Equipment on operating leases, net | 1,883 | — | — | 1,883 | 1,110 | — | — | 1,110 | |||||||||||||||||||||||
Other current assets | 1,647 | 2,668 | 9 | 4,324 | 1,658 | 1,975 | — | 3,633 | |||||||||||||||||||||||
Current assets held for sale(c) | 5,797 | 7,350 | (385 | ) | 12,762 | 4,591 | 6,883 | (296 | ) | 11,178 | |||||||||||||||||||||
Total current assets | 50,852 | 35,629 | (1,400 | ) | 85,081 | 48,567 | 28,948 | (1,312 | ) | 76,203 | |||||||||||||||||||||
Non-current Assets | |||||||||||||||||||||||||||||||
GM Financial receivables, net(b) | — | 20,217 | (80 | ) | 20,137 | — | 17,001 | — | 17,001 | ||||||||||||||||||||||
Equity in net assets of nonconsolidated affiliates | 7,192 | 1,056 | — | 8,248 | 8,052 | 944 | — | 8,996 | |||||||||||||||||||||||
Property, net | 34,060 | 241 | — | 34,301 | 32,389 | 214 | — | 32,603 | |||||||||||||||||||||||
Goodwill and intangible assets, net | 4,621 | 1,368 | — | 5,989 | 4,783 | 1,366 | — | 6,149 | |||||||||||||||||||||||
GM Financial equipment on operating leases, net | — | 39,725 | — | 39,725 | — | 34,342 | — | 34,342 | |||||||||||||||||||||||
Deferred income taxes | 32,277 | 148 | — | 32,425 | 32,931 | 241 | — | 33,172 | |||||||||||||||||||||||
Other assets | 3,143 | 853 | (2 | ) | 3,994 | 3,038 | 811 | — | 3,849 | ||||||||||||||||||||||
Non-current assets held for sale | 6,049 | 4,351 | — | 10,400 | 5,295 | 4,080 | — | 9,375 | |||||||||||||||||||||||
Total non-current assets | 87,342 | 67,959 | (82 | ) | 155,219 | 86,488 | 58,999 | — | 145,487 | ||||||||||||||||||||||
Total Assets | $ | 138,194 | $ | 103,588 | $ | (1,482 | ) | $ | 240,300 | $ | 135,055 | $ | 87,947 | $ | (1,312 | ) | $ | 221,690 | |||||||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||||||||||||||
Current Liabilities | |||||||||||||||||||||||||||||||
Accounts payable (principally trade)(a) | $ | 23,379 | $ | 681 | $ | (656 | ) | $ | 23,404 | $ | 23,305 | $ | 696 | $ | (668 | ) | $ | 23,333 | |||||||||||||
Short-term debt and current portion of long-term debt | |||||||||||||||||||||||||||||||
Automotive(b) | 1,415 | — | (349 | ) | 1,066 | 1,407 | — | (347 | ) | 1,060 | |||||||||||||||||||||
GM Financial | — | 28,942 | — | 28,942 | — | 22,737 | — | 22,737 | |||||||||||||||||||||||
Accrued liabilities | 23,683 | 2,919 | (1 | ) | 26,601 | 23,219 | 2,675 | (1 | ) | 25,893 | |||||||||||||||||||||
Current liabilities held for sale(c) | 8,839 | 5,838 | (384 | ) | 14,293 | 7,092 | 5,362 | (296 | ) | 12,158 | |||||||||||||||||||||
Total current liabilities | 57,316 | 38,380 | (1,390 | ) | 94,306 | 55,023 | 31,470 | (1,312 | ) | 85,181 | |||||||||||||||||||||
Non-current Liabilities | |||||||||||||||||||||||||||||||
Long-term debt | |||||||||||||||||||||||||||||||
Automotive(b) | 9,636 | — | (92 | ) | 9,544 | 9,500 | — | — | 9,500 | ||||||||||||||||||||||
GM Financial | — | 49,537 | — | 49,537 | — | 41,826 | — | 41,826 | |||||||||||||||||||||||
Postretirement benefits other than pensions | 5,750 | — | — | 5,750 | 5,803 | — | — | 5,803 | |||||||||||||||||||||||
Pensions | 14,774 | 3 | — | 14,777 | 15,261 | 3 | — | 15,264 | |||||||||||||||||||||||
Other liabilities | 10,892 | 1,547 | (1 | ) | 12,438 | 11,125 | 1,290 | — | 12,415 | ||||||||||||||||||||||
Non-current liabilities held for sale | 3,588 | 4,634 | 1 | 8,223 | 3,295 | 4,331 | — | 7,626 | |||||||||||||||||||||||
Total non-current liabilities | 44,640 | 55,721 | (92 | ) | 100,269 | 44,984 | 47,450 | — | 92,434 | ||||||||||||||||||||||
Total Liabilities | 101,956 | 94,101 | (1,482 | ) | 194,575 | 100,007 | 78,920 | (1,312 | ) | 177,615 | |||||||||||||||||||||
Commitments and contingencies | |||||||||||||||||||||||||||||||
Equity | |||||||||||||||||||||||||||||||
Common stock, $0.01 par value | 15 | — | — | 15 | 15 | — | — | 15 | |||||||||||||||||||||||
Additional paid-in capital | 26,327 | 1 | — | 26,328 | 26,982 | 1 | — | 26,983 | |||||||||||||||||||||||
Retained earnings | 18,015 | 10,532 | — | 28,547 | 15,903 | 10,265 | — | 26,168 | |||||||||||||||||||||||
Accumulated other comprehensive loss | (8,323 | ) | (1,046 | ) | — | (9,369 | ) | (8,091 | ) | (1,239 | ) | — | (9,330 | ) | |||||||||||||||||
Total stockholders’ equity | 36,034 | 9,487 | — | 45,521 | 34,809 | 9,027 | — | 43,836 | |||||||||||||||||||||||
Noncontrolling interests | 204 | — | — | 204 | 239 | — | — | 239 | |||||||||||||||||||||||
Total Equity | 36,238 | 9,487 | — | 45,725 | 35,048 | 9,027 | — | 44,075 | |||||||||||||||||||||||
Total Liabilities and Equity | $ | 138,194 | $ | 103,588 | $ | (1,482 | ) | $ | 240,300 | $ | 135,055 | $ | 87,947 | $ | (1,312 | ) | $ | 221,690 | |||||||||||||
_________
(a) | Eliminations primarily include Automotive accounts receivable of $273 million offset by GM Financial accounts payable, GM Financial accounts receivable of $383M offset by Automotive accounts payable at June 30, 2017 and Automotive accounts receivable of $322 million offset by GM Financial accounts payable, GM Financial accounts receivable of $347 million offset by Automotive accounts payable at December 31, 2016. |
(b) | Eliminations include GM Financial loan receivable of $449 million and $347 million offset by an Automotive loan payable at June 30, 2017 and December 31, 2016. |
(c) | Eliminations include Automotive assets held for sale of $247 million and $217 million primarily related to wholesale and commercial lending receivables offset by GM Financial liabilities held for sale at June 30, 2017 and December 31, 2016, GM Financial assets held for sale of $138 million and $79 million primarily trade receivables offset by Automotive liabilities held for sale at June 30, 2017 and December 31, 2016. |
12
General Motors Company and Subsidiaries
Combining Cash Flow Information
(In millions) (Unaudited)
Six Months Ended June 30, 2017 | Six Months Ended June 30, 2016 | ||||||||||||||||||||||||||||||
Automotive | GM Financial | Reclassification/Eliminations | Combined | Automotive | GM Financial | Reclassification | Combined | ||||||||||||||||||||||||
Cash flows from operating activities | |||||||||||||||||||||||||||||||
Net income | $ | 4,679 | $ | 440 | $ | — | $ | 5,119 | $ | 4,320 | $ | 347 | $ | — | $ | 4,667 | |||||||||||||||
Depreciation, amortization and impairment charges | 2,923 | 3,014 | — | 5,937 | 2,550 | 2,041 | — | 4,591 | |||||||||||||||||||||||
Foreign currency remeasurement and transaction losses | 95 | 10 | — | 105 | 143 | (1 | ) | — | 142 | ||||||||||||||||||||||
Undistributed earnings of nonconsolidated affiliates, net | 575 | (88 | ) | — | 487 | 837 | 56 | — | 893 | ||||||||||||||||||||||
Pension contributions and OPEB payments | (753 | ) | — | — | (753 | ) | (2,778 | ) | — | — | (2,778 | ) | |||||||||||||||||||
Pension and OPEB (income), net | (405 | ) | — | — | (405 | ) | (406 | ) | — | — | (406 | ) | |||||||||||||||||||
Provision for deferred taxes | 1,179 | 124 | — | 1,303 | 1,432 | 5 | — | 1,437 | |||||||||||||||||||||||
Change in other operating assets and liabilities(a) | (2,131 | ) | (345 | ) | (1,889 | ) | (4,365 | ) | (2,394 | ) | (176 | ) | (476 | ) | (3,046 | ) | |||||||||||||||
Net cash provided by operating activities – continuing operations | 6,162 | 3,155 | (1,889 | ) | 7,428 | 3,704 | 2,272 | (476 | ) | 5,500 | |||||||||||||||||||||
Net cash provided by operating activities – discontinued operations(a) | 131 | 176 | (176 | ) | 131 | 622 | 346 | (449 | ) | 519 | |||||||||||||||||||||
Net cash provided by operating activities | 6,293 | 3,331 | (2,065 | ) | 7,559 | 4,326 | 2,618 | (925 | ) | 6,019 | |||||||||||||||||||||
Cash flows from investing activities | |||||||||||||||||||||||||||||||
Expenditures for property | (4,139 | ) | (47 | ) | — | (4,186 | ) | (3,994 | ) | (38 | ) | — | (4,032 | ) | |||||||||||||||||
Available-for-sale marketable securities, acquisitions | (2,149 | ) | — | — | (2,149 | ) | (2,278 | ) | — | — | (2,278 | ) | |||||||||||||||||||
Trading marketable securities, acquisitions | — | — | — | — | (203 | ) | — | — | (203 | ) | |||||||||||||||||||||
Available-for-sale marketable securities, liquidations | 4,872 | — | — | 4,872 | 5,337 | — | — | 5,337 | |||||||||||||||||||||||
Trading marketable securities, liquidations | — | — | — | — | 813 | — | — | 813 | |||||||||||||||||||||||
Acquisition of companies/investments, net of cash acquired | (2 | ) | — | — | (2 | ) | (799 | ) | — | — | (799 | ) | |||||||||||||||||||
Purchases of finance receivables, net(a) | — | (12,459 | ) | 1,882 | (10,577 | ) | — | (6,893 | ) | 476 | (6,417 | ) | |||||||||||||||||||
Principal collections and recoveries on finance receivables | — | 6,020 | (17 | ) | 6,003 | — | 4,938 | — | 4,938 | ||||||||||||||||||||||
Purchases of leased vehicles, net | — | (9,884 | ) | — | (9,884 | ) | — | (10,145 | ) | — | (10,145 | ) | |||||||||||||||||||
Proceeds from termination of leased vehicles | — | 2,724 | — | 2,724 | — | 1,089 | — | 1,089 | |||||||||||||||||||||||
Other investing activities | 76 | (12 | ) | — | 64 | 169 | 44 | — | 213 | ||||||||||||||||||||||
Net cash (used in) investing activities – continuing operations | (1,342 | ) | (13,658 | ) | 1,865 | (13,135 | ) | (955 | ) | (11,005 | ) | 476 | (11,484 | ) | |||||||||||||||||
Net cash (used in) investing activities – discontinued operations(a) | (511 | ) | (364 | ) | 87 | (788 | ) | (553 | ) | (751 | ) | 449 | (855 | ) | |||||||||||||||||
Net cash (used in) investing activities | (1,853 | ) | (14,022 | ) | 1,952 | (13,923 | ) | (1,508 | ) | (11,756 | ) | 925 | (12,339 | ) | |||||||||||||||||
Cash flows from financing activities | |||||||||||||||||||||||||||||||
Net increase (decrease) in short-term debt | (62 | ) | (351 | ) | — | (413 | ) | 26 | (320 | ) | — | (294 | ) | ||||||||||||||||||
Proceeds from issuance of debt (original maturities greater than three months) | 428 | 26,703 | — | 27,131 | 2,048 | 19,452 | — | 21,500 | |||||||||||||||||||||||
Payments on debt (original maturities greater than three months) | (456 | ) | (12,891 | ) | 16 | (13,331 | ) | (147 | ) | (10,226 | ) | — | (10,373 | ) | |||||||||||||||||
Payments to purchase common stock | (1,496 | ) | — | — | (1,496 | ) | (300 | ) | — | — | (300 | ) | |||||||||||||||||||
Dividends paid | (1,145 | ) | — | — | (1,145 | ) | (1,188 | ) | — | — | (1,188 | ) | |||||||||||||||||||
Other financing activities | (142 | ) | (95 | ) | — | (237 | ) | (90 | ) | (78 | ) | — | (168 | ) | |||||||||||||||||
Net cash provided by (used in) financing activities – continuing operations | (2,873 | ) | 13,366 | 16 | 10,509 | 349 | 8,828 | — | 9,177 | ||||||||||||||||||||||
Net cash (used in) financing activities – discontinued operations | (131 | ) | 65 | 97 | 31 | — | 850 | — | 850 | ||||||||||||||||||||||
Net cash provided by (used in) financing activities | (3,004 | ) | 13,431 | 113 | 10,540 | 349 | 9,678 | — | 10,027 | ||||||||||||||||||||||
Effect of exchange rate changes on cash, cash equivalents and restricted cash | 131 | 78 | — | 209 | 20 | 35 | — | 55 | |||||||||||||||||||||||
Net transactions with Automotive/GM Financial(b) | — | — | — | — | 419 | (419 | ) | — | — | ||||||||||||||||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | 1,567 | 2,818 | — | 4,385 | 3,606 | 156 | — | 3,762 | |||||||||||||||||||||||
Cash, cash equivalents and restricted cash at beginning of period | 9,858 | 5,302 | — | 15,160 | 12,390 | 4,942 | — | 17,332 | |||||||||||||||||||||||
Cash, cash equivalents and restricted cash at end of period | $ | 11,425 | $ | 8,120 | $ | — | $ | 19,545 | $ | 15,996 | $ | 5,098 | $ | — | $ | 21,094 | |||||||||||||||
Cash, cash equivalents and restricted cash – continuing operations at end of period | $ | 11,423 | $ | 7,497 | $ | — | $ | 18,920 | $ | 15,994 | $ | 4,371 | $ | — | $ | 20,365 | |||||||||||||||
Cash, cash equivalents and restricted cash – discontinued operations at end of period | $ | 2 | $ | 623 | $ | — | $ | 625 | $ | 2 | $ | 727 | $ | — | $ | 729 | |||||||||||||||
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(a) | Reclassifications of $1,685 million and $476 million in the six months ended June 30, 2017 and 2016 for purchases/collections of wholesale finance receivables resulting from vehicles sold by GM to dealers that have arranged their inventory floor plan financing through GM Financial. |
(b) | Amounts loaned from GM Financial to Automotive for commercial loans to dealers we consolidate. |
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