General Motors announced today that it recorded net income of $700 million in the third quarter of 2013, down from $1.5 billion in the third quarter of 2012. However, that decline in profit comes even as the company’s revenue increased from $37.6 billion last year to $39.0 billion this quarter.
GM attributed the increase in revenue to stronger car and truck sales; the company’s U.S. sales figures are up 7.6 percent year-over-year through the first nine months of 2013. However, the company’s profit margin took a hit from tax expenses and share repurchase costs. Globally, GM sold 2.27 million vehicles last quarter, down from 2.325 vehicles a year prior.
“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,” GM chairman and CEO Dan Akerson said in a statement.
Each of GM’s major business regions was profitable save Europe, where GM Europe reported a loss of $0.2 billion. That’s even as GM Europe sold more cars last quarter (372,000) than a year before (357,000). However, the loss is better news than a year ago, when GM lost $0.5 billion in the third quarter of 2012 in Europe.
The North American region, meanwhile, saw income increase from $1.7 billion to $2.2 billion this year; in South America, GM profit rose from $0.2 billion to $0.3 billion, while GM International Operations posted $0.3 billion this year versus $0.8 billion a year prior.