GM reports 157% increase in 2nd quarter earnings
LORDSTOWN
A focus on profitability led General Motors to report a 157 percent increase in its second-quarter earnings.
But on the same day of its strong report, GM said an additional 4.3 million vehicles could be affected by the Takata airbag recall – and that could cost the company $550 million.
“We presently believe that the results of further testing and analysis will demonstrate that the vehicles do not present an unreasonable risk to safety and that no repair will ultimately be required,” GM said in a securities filing.
The company already has recalled 2.5 million trucks and sport utility vehicles at an estimated cost of $320 million because of airbag concerns.
In its earnings report, GM reported net income of $2.9 billion for the second quarter of 2016, which compares with the $1.1 billion reported in the second quarter of 2015.
Read more about the earnings in Friday's Vindicator or on Vindy.com.