General Motors Q2 profit up 52% on strong sales, company confirms new Chevy Bolt EV is coming

abcnews.go.com:

General Motors posted $2.54 billion in second-quarter net income, a 52% increase over a year ago

DETROIT — Despite taking on a huge chunk of an expensive electric vehicle recall, General Motors posted $2.54 billion in second-quarter net income, a 52% increase over a year ago.

Continued strong vehicle sales and pricing, as well as cost cuts, led to the better-than-expected quarter. The Detroit automaker on Tuesday raised its financial guidance for the full year with one qualification: that it can negotiate union labor contracts without a strike.

Chief Financial Officer Paul Jacobson told reporters that customers paid about $1,600 more per vehicle last quarter than from January through March — with an average U.S. sale price of $52,000. Discounts and inventory remained flat as the company sold 19% more vehicles than a year ago in the U.S., its most profitable market.

GM is being cautious on prices and not counting on them staying high all year, Jacobson said. “We’re not assuming major increases in pricing or in average transaction prices going forward,” he said.

GM raised its full-year guidance for the second straight quarter, saying it will post net income of between $9.3 billion and $10.7 billion. Previously it predicted $8.4 billion to $9.9 billion.

Also pushing up the guidance was another $1 billion in cost savings that Jacobson said GM had found, on top of $2 billion the company promised earlier for the full year. The savings came through lower salaried employee expenses due to 5,000 workers taking early retirement buyouts, as well as savings in marketing and reductions in administrative costs and vehicle manufacturing complexity.

The company said it is looking for further cost cuts in areas such as simplifying