Auto blog

GM earnings rise 1% as buyers pay more for popular pickups

DETROIT — General Motors said Thursday that higher prices for popular pickup trucks and SUVs helped overcome slowing global sales and profit rose by 1% in the second quarter. The Detroit automaker said it made $2.42 billion, or $1.66 per share, from April through June. Adjusting for restructuring costs, GM made $1.64 per share, blowing by analyst estimates of $1.44. Quarterly revenue fell 2% to $36.06 billion, but still beat estimates. Analysts polled by FactSet expected $35.97 billion. Global sales fell 6% to 1.94 million vehicles led by declines in North America and Asia Pacific, Middle East and Africa. The company says sales in China were weak, and it expects that to continue through the year. In the United States, customers paid an average of $41,461 for a GM vehicle during the quarter, an increase of 2.2%, as buyers went for loaded-out pickups and SUVs, according to the Edmunds.com auto pricing site. The U.S. is GM's most profitable market. Chief Financial Officer Dhivya Suryadevara said she expects the strong pricing to continue, especially as GM rolls out a diesel pickup and new heavy-duty trucks in the second half of the year. "We think the fundamentals do remain strong, especially in the truck market," she said, adding that strength in the overall economy and aging trucks now on the road should help keep the trend going. Light trucks accounted for 83.1% of GM's sales in the quarter, and pickup truck sales rose 8.5% as GM transitioned to new models of the Chevrolet Silverado and GMC Sierra, according to Edmunds, which provides content to The Associated Press. As usual, GM made most of its money in North America, reporting $3 billion in pretax earnings. International operations including China broke even, while the company spent $300 million on its GM Cruise automated vehicle unit. Its financial arm made $500 million in pretax income. Suryadevara said GM saw $700 million in savings during the quarter from restructuring actions announced late last year that included cutting about 8,000 white-collar workers through layoffs, buyouts and early retirements. The company also announced plans to close five North American factories, shedding another 6,000 jobs. About 3,000 factory workers in the U.S. whose jobs were eliminated at four plants will be placed at other factories, but they could have to relocate. GM expects the restructuring to generate $2 billion to $2.5 billion in annual cost savings by the end of this year.

2018 Buick Enclave slims down for spy shots

Most vehicles are refreshed every five years or so. New technology and styling is required to keep up with the latest trends. Although this cycle is common, there are some vehicles, like the Buick Enclave, that seem to stick around far past their expiration date. We now have spy shots of what appears to be the nine-year old Enclave's replacement. Although the vehicle in the photos is completely covered in camouflage, we can make out the new Buick family grill. There are a set of LED running lights up front and what appear to be a location for foglights toward the bottom. The camo covering is cut in places to allow gaps for sensors, presumably for parking and other driver aids. Out back, the rectangular taillights don't appear to be production ready. The whole rear, especially the glass, looks smaller than the outgoing model, though it is difficult to properly tell through the camouflage. The rear bumper has wide cuts for the dual exhaust pipes, and again the camo has cutouts for sensors. The side profile reveals the biggest change with the new Enclave. The current version shares a platform with the Chevrolet Traverse and the original GMC Acadia, some of the largest vehicles on the market. The all-new 2017 Acadia scaled down in order to compete against midsize crossovers and now has more in common with the smaller, Chinese-built Buick Envision. That doesn't mean the Enclave and Acadia are entirely separate. Both the Enclave and upcoming Traverse will ride on a stretched version of the Acadia platform. The general profile remains the same, but it's apparent that the vehicle in these photos is longer than the new GMC. Most other details are speculation. The Enclave will most likely arrive with GM's 3.6 liter V6. With the introduction of the Envision, the Enclave is expected to move upmarket to compete against the Acura MDX and Volvo XC90. Because of the slightly narrower shape, passenger seating is expected to fall to seven. The new crossover will probably lose a bit of weight with the redesign. The new Buick is expected to debut next year as a 2018 model. Look for the reveal of the Chevrolet Traverse replacement as well. Related Video: Featured Gallery Buick Enclave Spy Shots View 20 Photos Spy Photos Buick Crossover

2020 Chevy Trax and Buick Encore spied testing

We just recently saw a little crossover SUV from General Motors being tested, and we weren't positive what brand it belonged to. We narrowed it down to Chevy or GMC, but we're feeling more confident that it's a GMC now, since both the next generation Chevy Trax and Buick Encore subcompact crossover SUVs have been spied testing together. Of the two, the Chevy has the more radically different sheet metal. It ditches the somewhat frumpy, lumpy shape of the current Trax for a body inspired by the bigger Chevy Blazer. The roofline has sharp corners, and the hood is wide and flat. The front fascia, though obscured, shows the most connection to the bigger crossover. It has the same split headlight configuration, and it looks as though the grille takes up a sizable section of the fascia. View 7 Photos The Buick Encore on the other hand looks evolutionary in design. The body still has plenty of curves, and the distinctive, sharply rising window sill are all hallmarks of the current Encore design. The headlights and grille are similar, too, though the grille appears to be slightly updated to fit in with the Enclave and Regal. It's understandable that Buick might want to play it safe with the new Encore, since the model is Buick's best seller, selling about 23,000 units in the last quarter, nearly twice that of the next best performer, the Enclave. Since this is the first time we've seen these little crossovers, we expect it will still be a year or two before we get to see them fully revealed. They will probably continue to use small-displacement turbocharged four-cylinder engines with either front- or all-wheel drive. Related Video: