(Correction – General Motors Fusion Hybrid XEV sedan in August 2017.
(Kenneth K. Lam/Staff)
General Motors (GM) wants to double its revenue over the next few years by selling electric vehicles (EVs) and services such as those from its ride-hailing company, Lyft.
The company unveiled plans Tuesday at the company’s annual meeting to boost sales to $11 billion by 2022 and target an EBIT-adjusted profit margin of 10 percent, a high water mark for the company in terms of profitability.
“We have the best global platform [plan] in automotive history,” Chairman and CEO Mary Barra said of its large scale manufacturing of vehicles for all regions. “I have tremendous confidence in the product line.”
The company also plans to complete 100 percent of its SUV production in metro Detroit, reducing dependence on foreign markets.
The automaker’s focus on EVs led it to a record profit of $10.6 billion in 2017 and its shares are up 18 percent since its earnings report for the year.
Major rivals Ford Motor (F) and Fiat Chrysler (FCAU) already offer EVs in the U.S. and GM hopes to take advantage of several factors in its favor.
The advent of self-driving and electric cars could raise the cost of vehicles, prompting consumers to seek more functional vehicles for two reasons: to save money on gas or save money on transportation. For Lyft, which is experiencing rapid growth, offering EVs and offering carpool services could help attract more riders, according to Business Insider.