General Motors Chairman and CEO Mary Barra on April 1, 2020 tours one of the company’s facilities in Warren, Michigan that will produce Level 1 face masks.
General Motors lost about $800 million and burned through billions of dollars of cash in the second quarter in what is expected to be the worst three months of the year for the auto industry as the coronavirus pandemic shuttered factories and devastated sales.
GM’s results released Wednesday reflected a 34% drop in U.S. vehicle sales, which the company attributed to a drop in demand “due to the COVID-19 pandemic and tight dealer inventories caused by the production shutdown in the first and second quarters.”
GM’s loss is a sharp contrast to the $2.42 billion profit it made during the same three months last year. Revenue during the three months ended June 30 slid to $16.78 billion, a more than 53% drop from $36.1 billion during the same time last year.
However, the loss isn’t as bad as Wall Street feared and helped drive shares…