CHICAGO General Motors Co.s third-quarter net income fell 52.7 percent to $698 million from nearly $1.48 billion in the same period last year despite a 3.7-percent increase in sales to $39 billion.
Net income was impacted by cumulative dividends on preferred stock and a charge related to the repurchase of 120 million shares of preferred stock, the Detroit-based automaker said.
"We made gains in the third quarter as we improved our North American margins and increased our global share on the strength of our Chevrolet brand," chairman and chief executive officer Daniel F. Akerson said in a statement Oct. 30.
Strong demand for new vehicles helped boost GMs top-line results in the quarter, executive vice president and chief financial officer Daniel Ammann said.
GM sold 2.4 million vehicles worldwide in the three months ended Sept. 30, up 5.5 percent from 2.3 million in the same period last year. North American sales totaled 808,000 vehicles, a 6.5-percent increase from 759,000 a year earlier. European sales of 388,000 vehicles rose 4.3 percent from 372,000 in the same comparison, while sales in Asia-Pacific, Middle East and Africa region jumped 8.5 percent to 930,000 vehicles from 857,000 units.
GMs joint ventures in China sold 744,000 vehicles in the quarter, up 12.2 percent year over year, with the year-to-date tally up 11.1 percent to 2.31 million vehicles.
The only decline in the quarter was in South America, where sales fell 4.2 percent to 273,000 vehicles from 285,000 in the year-ago period.
North American sales totaled $23.5 billion in the quarter, up 5.2 percent from $22.3 billion a year earlier, while European sales were up 3.3 percent to $4.9 billion from $4.7 billion.