General Motors has said that it is in plans to increase the profit margin of one of its German Automobiles Companies Opel.
The company aims to cut down the costs for balancing the crisis faced by its European unit.
GM says that it is working hard to bring the positive results.
Stephen Girsky, the GM Europe President and Opel Supervisory Board Chairman said in his statement “part of that are reductions in production costs, raising vehicle sales and achieving higher profit margins.” He also expressed that the company is putting complete efforts on reducing unnecessary structures and bureaucracy.
GM is already in debt of $361 million operating loss at its Europe unit in second quarter profit. Comparative to last year’s $2.52 billion, GM has earned $1.49 billion in last quarter.
GM’s profit dropped by 41% in the second quarter of this year due to which the company vowed on Thursday to bring hasty changes that could possibly improve the condition of this division. Apart from European, GM’s Asian and North American businesses bring strong results. As per the statement made by Daniel F. Akerson, the chief executive of GM on Thursday, the automaker had not moved quickly or decisively enough to fix its European problems. Following this, the chairman of Euroda Jaap Timmer from the Opel dealers’ association has said that it is time for a real turnaround plan.