GM Announces Buyback, Raises Dividend, and Restores 2023 Guidance

GM Announces Buyback, Raises Dividend, and Restores 2023 Guidance



GM initiates $10 billion buyback, boosts dividend and reinstates 2023 guidance after UAW strikes

General ‍Motors is ⁢working to regain Wall⁤ Street’s confidence heading into 2024 with ⁢several investor-focused initiatives ‍Wednesday following a tumultuous ‌year of labor strikes‌ and setbacks in its‌ plans for electric⁢ and autonomous vehicles.

The Detroit automaker plans to increase its quarterly dividend ‍next year by 33% to 12 ⁢cents per share; initiate an accelerated billion share repurchase program; and reinstate its 2023 guidance to include an estimated $1.1​ billion in⁣ earnings before interest and tax, or EBIT-adjusted, impact from roughly six weeks of ⁢U.S. labor ‍strikes​ by the ‍United Auto ⁤Workers ‍union.

GM CEO Mary Barra in a statement said the company is finalizing a‍ budget for next year that will “fully offset the ‌incremental⁤ costs of⁢ our new labor agreements.

“The ⁣long-term plan we are executing includes reducing the capital ​intensity of the business, developing products even ⁣more efficiently, and further ⁣reducing our⁤ fixed and variable ‌costs,” she said.

Shares of GM jumped…

2023-11-29 08:30:46
Post ⁤from www.cnbc.com
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