General Motors predicts pretax earnings increase, profit margin rise this year

MarketsAssociated Press

General Motors says it expects pretax earnings and profit margins to increase this year over last, after adjusting last year for recall costs.

The company also predicts improved automotive results in all of its regions. It gave no specific numbers. GM is scheduled to release its fourth-quarter and 2014 earnings on Feb. 4.

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GM also reiterated 2016 financial targets of 10 percent pretax profit margins in North America and a return to profitability in Europe. It also expects to maintain strong profit margins in China. Profit margin is the percentage of revenue that a company gets to keep.

The company expects 9 percent to 10 percent profit margins overall by early next decade.

GM made the predictions ahead of a conference for analysts in Detroit on Thursday.