4 May 2012

General Motors profit falls

1:31 pm on 4 May 2012

US car giant General Motors has reported a sharp drop in quarterly profits, due in part to its loss-making European operations.

Net profit for the first three months of the year was $1.35 billion compared with $3.41 billion a year earlier, the BBC reports.

GM Europe made a loss of $300 million in the period, compared with breaking even a year ago, while goodwill adjustments reduced profit by $600 million.

However record demand in China helped push overall revenue up 4% at $37.8bn