GM reports first profit in three years

General Motors Corp. reported its first profit in three years on Monday, less than a year after emerging from bankruptcy. 

The Detroit-based automaker reported a profit of $865 million for the first three months of the year, a huge turnaround over a $6 billion loss in the first quarter of 2009, according to figures released by GM Monday. 

First quarter revenue was $31.5 billion, as cost-cutting and debt-reducing measures while in bankruptcy helped propel profits was well as improve sales of new models, the company reported. 

The company's last profit -- $891 million -- came in the second quarter of 2007.

While results were positive, GM executives cautioned that the European debt crisis and other global factors could slow sales. In addition, first-quarter production is usually higher than the rest of the year, said Chris Liddell, chief financial officer for GM. 

"I'd still be reasonably cautious about the rest of the year," he said Monday. 

Although GM paid off the last of its $8.2 billion loan with the Treasury Department and Canadian government in April, the federal government still owns 61 percent of the automaker. 

GM executives are aiming for an initial public offering later this year or possibly in early 2011 to help repay the firm's $50 billion debt. 

After repaying the loans, the company took some heat from lawmakers who said GM wasn't up-front about its government-financed debt.