GM Outlook Doesn’t Impress, Sees Chip Shortage Continuing; Shares Drop

GM Outlook Doesn’t Impress, Sees Chip Shortage Continuing; Shares Drop
The GM logo is seen at the General Motors plant in Sao Jose dos Campos, Brazil, on Jan. 22, 2019. Roosevelt Cassio/Reuters
Reuters
Updated:

DETROIT—General Motors Co. said on Wednesday its quarterly profit was hit by the global semiconductor shortage that it sees continuing until late 2022, and offered a full-year profit forecast that disappointed Wall Street, sending shares down more than 3 percent in premarket trading.

The Detroit automaker’s quarterly profit and revenue fell due to a drop in wholesale shipments to dealers amid the continuing chip shortage, as well as higher commodity and logistics costs.