General Motors ups dividend, share buyback on strong outlook
Good news for sharleholders
DETROIT – General Motors says it will add $4 billion to its stock buyback program and raise its quarterly dividend 6 percent to 38 percent per share.
The dividend increase starts in the first quarter and the share buybacks will run through 2017.
"We made significant progress executing our strategic plan and the results are being demonstrated through our improved earnings," said GM Chairman and CEO Mary Barra."Moving forward, we will continue to keep the customer at the center of everything we do."
Barra made the remarks while attending the Deutsche Bank 2016 Global Auto Industry Conference in Detroit.
"We are making the right investments and taking the actions necessary to lead in the transformation of personal mobility, and positioning the company to continue to drive shareholder value," Barra said.
Company executives also announced that the automaker expects to make an adjusted profit of $5.25 to $5.75 per share this year. GM also expects improved adjusted earnings before taxes.
GM's 2016 outlook is based on a strong product launch cadence, growth in adjacent businesses, continued emphasis on driving core efficiencies.
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