GM still struggling to build EVs, sees margin growth ahead for Cruise-CFO
Reuters
Published Aug 09, 2023 10:40AM ET
(Reuters) - General Motors (NYSE:GM) is still struggling to ramp up production of electric vehicles, a top executive said on Wednesday.
Speaking at a J.P. Morgan investor conference, GM Chief Financial Officer Paul Jacobson said the automaker's electric vehicles, from Cadillac Lyriq SUVs to BrightDrop vans, had been affected by an issue with assembling battery modules - a stumbling block first noted last week by Chief Executive Mary Barra.
Jacobson said GM had built more than 1,000 Lyriqs in July -- still well below the company's initial expectations.
GM in early 2022 said it expected to build 25,000 Lyriqs at the company's Spring Hill, Tennessee, plant last year, but fell far short of that target. In the first six months this year, GM delivered fewer than 2,400 Lyriqs to customers, as it struggled with batteries and other issues.
Jacobson pointed to its majority-owned Cruise automated vehicle operation as a bright spot, as the unit enters a "big phase of operational expansion," with more than 400 vehicles on the road.
Cruise has "largely solved all the technology challenges," Jacobson said, and is still targeting $1 billion in revenue in 2025 and growing margins as costs continue to come down.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.