After struggling with bankruptcy and a tarnished image, General Motors announced today that it has returned to profitability, with revenue of $31.5 billion and operating income of $1.2 billion in the first quarter of this year.
The results of this past quarter marks the first profit for GM since 2007. After emerging from bankruptcy, GM continued to struggle and saw losses in the two quarters immediately following bankruptcy.
“In North America we are adding production to keep up with strong demand for new products in our four brands. We’re also steadily growing in emerging markets, keeping our costs under control, generating positive cash flow and maintaining a strong balance sheet. These are all important steps as we lay the foundation for a successful GM,” said Chris Liddell, vice chairman and chief financial officer.
With strong incentives and the sales of new cars picking up overall, GM is also boosting production to meet rising demand. GM’s quarterly profit also marks another stepping stone toward a public offering.
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