NEW YORK: General Motors said Tuesday earnings in the fourth quarter tumbled but it posted another round of strong car sales, led by North America.
Earnings in the fourth quarter for the largest US car company fell to $1.8 billion, a stunning 70.7 percent below the year-ago period, but the fourth quarter 2015 was boosted by a large one-time tax item.
However, revenues in the quarter jumped 10.8 percent to $43.9 billion.
GM saw car sales in North America surge in the final three months of the year by 8.0 percent to more than a million vehicles. The company also reported gains in other key regions, including China.
Brands with large gains included Chevrolet, Cadillac and the Baojun.
On the downside, GM reported operating losses for the quarter and the year in Europe and South America. It said the weak British pound and falling Mexican peso negatively impacted results.
"Solid results in the fourth quarter capped another record year of earnings and beat the commitments we outlined for 2016," said GM chief financial officer Chuck Stevens.
GM has come under fire from President Donald Trump for manufacturing cars in Mexico and exporting them to the United States, but Stevens said there were no plans to shift from its current profile.
"At the end of the day, there's a number of factors that go into footprint decisions and they're long-lead," Stevens told CNBC.
Shares of GM dipped 0.6 percent to $36.60 in pre-market trading.
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