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GM posts $4 billion third-quarter profit thanks to trucks and SUVs

DETROIT — General Motors is posting huge third quarter numbers, pulling in $4 billion in profit over three months after losing money due to the virus outbreak. GM's adjusted earnings were $2.83 per share, easily outpacing Wall Street's per-share projections of $1.43, according to a survey by FactSet. Revenue of $35.5 billion also edged out most expectations. Shares jumped almost 6% before the opening bell Thursday. The company swung back from a $806 million loss in the second quarter, when it was restarting factories shuttered for safety during the early stages of the pandemic. The Detroit automaker joined most global automakers in reporting better-than-expected earnings from July through September as sales across the globe started to rebound from coronavirus lockdowns, especially in China. GM sales in China jumped 12% in the third quarter, with sales of its Buick and Cadillac brands both rising more than 25%. In the U.S., GMÂ’s most profitable market, sales fell 9.9% in the third quarter compared with a year ago, but were a dramatic improvement over the 34% drop in the second quarter. Sales improved sequentially each month, the automaker said, an encouraging trend. GMÂ’s profit was boosted by higher-priced pickup trucks and large SUVs, which have seen strong sales in the U.S. through the pandemic. It was the best quarter on record for GM's Chevrolet Blazer. Sales of the Cadillac XT6 spiked 45% in the U.S. over last year. Large pickups also sold well. GM also said it was pumping $2 billion into its Spring Hill, Tennessee manufacturing plant to push its transition to produce electric vehicles. Last week, crosstown rivals Fiat Chrysler and Ford reported strong third-quarter net income. FCA said it made $1.4 billion for the period, while Ford earned $2.39 billion. Related Video: Earnings/Financials Buick Cadillac Chevrolet GM GMC

10 of 18 midsize SUVs earn 'good' IIHS side impact safety rating

It's not terribly surprising that midsize SUVs earned better safety ratings than small SUVs in the latest side-impact tests performed by the Insurance Institute for Highway Safety (IIHS). Just how much better they scored, on the other hand, certainly raises an eyebrow. Ten out of 18 midsize SUVs earned the highest rating of 'good' in the stringent new test, altered for vehicles starting with the 2020 model year with a heavier barrier (4,200 pounds) that moves at a higher speed (37 miles per hour) and is fitted with a hard honeycomb frontal structure. By way of contrast, just one out of of 20 small SUVs earned a 'good' score.  SUVs that receiving 'good' scores were the Ford Explorer, Infiniti QX60, Lincoln Aviator, Mazda CX-9, Nissan Pathfinder, Subaru Ascent, Toyota Highlander, Volkswagen Atlas, Volkswagen Atlas Cross Sport and Volkswagen ID.4. For EV fans, it's worth noting the ID.4 was the only electric vehicle included in the test. The Buick Enclave and Chevrolet Traverse scraped away with 'acceptable' ratings while the Honda Passport, Honda Pilot, Hyundai Palisade, Jeep Wrangler 4-door, Kia Telluride and Nissan Murano were deemed merely 'marginal' in the tough new test. Only two models — the Mazda CX-9 and Volkswagen ID.4 — earned a "Good" rating in every test category.  Interestingly, the Jeep Wrangler would have scored a 'good' rating if it were equipped with side airbags for the rear seating positions. It would likely be an engineering challenge to equip its removable top and/or doors with airbags, but the lack of that safety feature allowed the head of the rear passenger dummy to hit the vertical support of the top. Otherwise, the Wrangler scored good ratings across the board. The new Ford Bronco, which makes more allowances for side-impact safety, has not yet been tested.  The popular Hyundai Palisade and Kia Telluride SUVs stand out in the test with 'poor' ratings for driver pelvis injuries. The Nissan Murano, a vehicle last redesigned for the 2015 model year, was the only vehicle tested that received a 'poor' rating for its structure and safety cage. Videos of the tests of 12 of these 18 SUVs can be found on the IIHS' YouTube page. Related video: Green Buick Chevrolet Ford Honda Hyundai Infiniti Jeep Kia Mazda Nissan Subaru Toyota Volkswagen Safety Crossover SUV IIHS Insurance Institute for Highway Safety

GM says safety is a reason it's dropping Apple CarPlay, Android Auto

Update: GM sent us a statement as a follow-up to its original comments seen in this post: "We wanted to reach out to clarify that comments about GM's position on phone projection were misrepresented in previous articles and to reinforce our valued partnerships with Apple and Google and each company’s commitment to driver safety. GM's embedded infotainment strategy is driven by the benefits of having a system that allows for greater integration with the larger GM ecosystem and vehicles." The original story can be read in its entirety below.   General Motors announced its intention to remove Apple CarPlay and Android Auto functionality from its upcoming EVs earlier this year, and internet comments sections haven't been kind since. As the first of many EVs to follow – the 2024 Chevrolet Blazer EV – hits the market, GM is expanding on its initial explanations for dropping the tech. Motor Trend spoke with Tim Babbit, GMÂ’s head of product for infotainment, to learn more. Attributed to Babbit, from the story: “They have stability issues that manifest themselves as bad connections, poor rendering, slow responses, and dropped connections. And when CarPlay and Android Auto have issues, drivers pick up their phones again, taking their eyes off the road and totally defeating the purpose of these phone-mirroring programs. Solving those issues can sometimes be beyond the control of the automaker.” Babbit suggests that a world without Apple CarPlay or Android Auto will be a safer one, as folks wonÂ’t be looking to control their infotainment systems via their phones. However, Babbit also tells MT that this theory hasnÂ’t been tested in either the lab or the real world yet. Instead of using a navigation or music-playing app powered through your phone, upcoming GM EVs will use a Google-based infotainment system called “Ultifi” that runs a ton of integrated Google apps. Google Maps will be the native navigation app in the system; youÂ’ll be able to log in to Spotify or other apps to load your music up, and so on. The idea here is that youÂ’ll have all the same apps that were on your phone available but integrated within the infotainment system instead, and you'll be able to use voice controls to control every last bit of it with no need to reach for a phone. That sounds amenable in theory, but how consumers react to the removal of a feature that they know and love now is a risky gamble.