- Second quarter net income of $610 million
- Second quarter retail loan and operating lease originations
of $13.6 billion
- Earning assets of $120.8 billion at June 30, 2024
- Available liquidity of $36.5 billion at June 30,
2024
GENERAL MOTORS FINANCIAL COMPANY, INC. (“GM Financial” or
the “Company”) announced net income of $610 million for the quarter
ended June 30, 2024, compared to $536 million for the quarter ended
March 31, 2024, and $571 million for the quarter ended June 30,
2023. Net income for the six months ended June 30, 2024 was $1.1
billion, compared to $1.2 billion for the six months ended June 30,
2023.
Retail loan originations were $8.6 billion for the quarter ended
June 30, 2024, compared to $8.3 billion for the quarter ended March
31, 2024, and $9.1 billion for the quarter ended June 30, 2023.
Retail loan originations for the six months ended June 30, 2024
were $17.0 billion, compared to $18.2 billion for the six months
ended June 30, 2023. The outstanding balance of retail finance
receivables was $73.3 billion at June 30, 2024, compared to $73.2
billion at March 31, 2024 and $69.7 billion at June 30, 2023.
Operating lease originations were $5.0 billion for the quarter
ended June 30, 2024, compared to $4.3 billion for the quarter ended
March 31, 2024, and $4.6 billion for the quarter ended June 30,
2023. Operating lease originations for the six months ended June
30, 2024 were $9.3 billion, compared to $8.5 billion for the six
months ended June 30, 2023. Leased vehicles, net was $30.3 billion
at June 30, 2024, compared to $30.1 billion at March 31, 2024 and
$31.6 billion at June 30, 2023.
The outstanding balance of commercial finance receivables was
$17.1 billion at June 30, 2024, compared to $14.9 billion at March
31, 2024 and $11.5 billion at June 30, 2023.
Retail finance receivables 31-60 days delinquent were 2.1% of
the portfolio at June 30, 2024 and 1.8% at June 30, 2023. Accounts
more than 60 days delinquent were 0.7% of the portfolio at June 30,
2024 and 0.6% at June 30, 2023.
Annualized net charge-offs were 1.0% of average retail finance
receivables for the quarter ended June 30, 2024 and 0.8% for the
quarter ended June 30, 2023. For the six months ended June 30,
2024, annualized net charge-offs were 1.0%, compared to 0.8% for
the six months ended June 30, 2023.
The Company had total available liquidity of $36.5 billion at
June 30, 2024, consisting of $7.4 billion of cash and cash
equivalents, $25.3 billion of borrowing capacity on unpledged
eligible assets, $0.7 billion of borrowing capacity on committed
unsecured lines of credit, $1.0 billion of borrowing capacity on
the Junior Subordinated Revolving Credit Facility from GM, and $2.0
billion of borrowing capacity on the GM Revolving 364-Day Credit
Facility.
Earnings resulting from the Company's equity investment in joint
ventures that conduct automotive finance operations in China were
$14 million for the quarter ended June 30, 2024, compared to $32
million for the quarter ended March 31, 2024 and $37 million for
the quarter ended June 30, 2023. Earnings for the six months ended
June 30, 2024 were $45 million, compared to $78 million for the six
months ended June 30, 2023.
About GM Financial
General Motors Financial Company, Inc. is the wholly owned
captive finance subsidiary of General Motors Company and is
headquartered in Fort Worth, Texas. Additional materials addressing
the Company’s results of operations for the quarter ended June 30,
2024 can be accessed via the Investor Relations section of the
Company’s website at https://investor.gmfinancial.com.
General Motors Financial Company, Inc.
Condensed Consolidated Statements of
Income
(Unaudited, in millions)
Three Months Ended June 30,
Six Months Ended June 30,
2024
2023
2024
2023
Revenue
Finance charge income
$
1,876
$
1,490
$
3,662
$
2,859
Leased vehicle income
1,803
1,820
3,603
3,638
Other income
239
187
464
343
Total revenue
3,918
3,498
7,729
6,840
Costs and expenses
Operating expenses
479
456
937
899
Leased vehicle expenses
972
1,011
2,019
2,050
Provision for loan losses
174
167
378
298
Interest expense
1,485
1,135
2,881
2,134
Total costs and expenses
3,109
2,768
6,215
5,381
Equity income
14
37
45
78
Income before income taxes
822
766
1,559
1,537
Income tax provision
212
195
412
382
Net income (loss)
610
571
1,147
1,155
Less: cumulative dividends on preferred
stock
30
30
59
59
Net income (loss) attributable to
common shareholder
$
581
$
541
$
1,088
$
1,096
Amounts may not add due to
rounding.
Condensed Consolidated Balance Sheets
(Unaudited, in millions)
June 30, 2024
December 31, 2023
ASSETS
Cash and cash equivalents
$
7,448
$
5,282
Finance receivables, net of allowance for
loan losses $2,311 and $2,344
88,151
84,637
Leased vehicles, net
30,345
30,582
Goodwill and intangible assets
1,176
1,184
Equity in net assets of nonconsolidated
affiliates
1,675
1,670
Related party receivables
595
540
Other assets
7,932
8,116
Total assets
$
137,322
$
132,011
LIABILITIES AND SHAREHOLDERS'
EQUITY
Liabilities
Secured debt
$
44,630
$
45,243
Unsecured debt
65,476
60,084
Deferred income
2,320
2,313
Related party payables
518
445
Other liabilities
8,841
8,383
Total liabilities
121,785
116,468
Total shareholders' equity
15,538
15,542
Total liabilities and shareholders'
equity
$
137,322
$
132,011
Amounts may not add due to
rounding.
Operational and Financial Data
(Unaudited, Dollars in millions)
Amounts may not add due to rounding
Three Months Ended June 30,
Six Months Ended June 30,
Originations
2024
2023
2024
2023
Retail finance receivables
originations
$
8,623
$
9,102
$
16,952
$
18,206
Lease originations
4,963
4,585
9,271
8,511
Total originations
$
13,586
$
13,687
$
26,223
$
26,717
Three Months Ended June 30,
Six Months Ended June 30,
Average Earning Assets
2024
2023
2024
2023
Average retail finance receivables
$
73,553
$
68,705
$
73,199
$
67,664
Average commercial finance receivables
15,858
10,954
15,003
10,891
Average finance receivables
89,411
79,659
88,202
78,555
Average leased vehicles, net
30,203
31,680
30,284
31,994
Average earning assets
$
119,614
$
111,339
$
118,486
$
110,549
Ending Earning
Assets
June 30, 2024
December 31, 2023
Retail finance receivables
$
73,335
$
72,729
Commercial finance receivables
17,127
14,251
Leased vehicles, net
30,345
30,582
Ending earning assets
$
120,807
$
117,562
Finance
Receivables
June 30, 2024
December 31, 2023
Retail
Retail finance receivables
$
73,335
$
72,729
Less: allowance for loan losses
(2,261
)
(2,308
)
Total retail finance receivables, net
71,074
70,421
Commercial
Commercial finance receivables
17,127
14,251
Less: allowance for loan losses
(50
)
(36
)
Total commercial finance receivables,
net
17,078
14,216
Total finance receivables, net
$
88,151
$
84,637
Allowance for
Loan Losses
June 30, 2024
December 31, 2023
Allowance for loan losses as a percentage
of retail finance receivables
3.1 %
3.2 %
Allowance for loan losses as a percentage
of commercial finance receivables
0.3 %
0.3 %
Delinquencies
June 30, 2024
June 30, 2023
Loan delinquency as a percentage of retail
finance receivables:
31 - 60 days
2.1
%
1.8
%
Greater than 60 days
0.7
0.6
Total
2.8
%
2.5
%
Three Months Ended June 30,
Six Months Ended June 30,
Charge-offs and Recoveries
2024
2023
2024
2023
Charge-offs
$
411
$
323
$
816
$
645
Less: recoveries
(222
)
(191
)
(434
)
(377
)
Net charge-offs
$
189
$
132
$
382
$
269
Net charge-offs as an annualized
percentage of average retail finance receivables
1.0
%
0.8
%
1.0
%
0.8
%
Three Months Ended June 30,
Six Months Ended June 30,
Operating Expenses
2024
2023
2024
2023
Operating expenses as an annualized
percentage of average earning assets
1.6 %
1.6 %
1.6 %
1.6 %
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240722774697/en/
Investor Relations contact: Meagan Trampe Vice President,
Investor Relations (817) 302-7385 Investors@gmfinancial.com