Ford September sales drop not as bad as feared
Chrysler, GM sales nearly halved and Daimler down but Hyundai soars
CHICAGO (MarketWatch)
Chrysler, GM sales nearly halved and Daimler down but Hyundai soars
CHICAGO (MarketWatch)
In the first month after the end of the cash-for-clunkers programs, automakers on Thursday are reporting virtually across-the-board sales declines with Chrysler and General Motors seeing volumes nearly halved, but Ford not hit as hard as expected - and even robust gains for Hyundai.
General Motors sold some 156,673 vehicles in September, a slump of 45% with retail sales off 46% and fleet sales declining 43%. Car sales were down 43% and total truck sales -- light and heavy -- plummeted 47%.
On a percentage basis, Cadillac saw the smallest dive, down 9% to 11,339 vehicles, with the largest decline in the soon-to-be-wound-down Saturn division, which posted a 84% drop in sales to 2,993 units. GM's best-selling Chevrolet division posted a 41% decline for the month to 102,538 vehicles.
"September was a tough transitional month for the industry, and a difficult year-over-year comparison for GM," Mark LaNeve, vice president of U.S. sales, said in the report. "Fortunately, the fourth quarter looks brighter and our year-over-year comparisons should look more favorable."
Ford was first off the mark, reporting its U.S. auto sales for September dropped 5.1% to 114,655 vehicles from 116,734 a year ago. Total Ford, Lincoln and Mercury sales fell 5.8% to 109,939 units while Volvo sales rose better than 16% to 4,716.
Retail sales fell 14% percent while fleet sales jumped 23%. The company said its new Taurus "bucked an industry trend" as sales last month came in at 5,077 units, 60% higher than a year ago and half as much again as in August.
Ford said its total truck sales, which include SUVs and crossovers, dropped 6.9% to 71,049 units. In July, Ford's total sales rose 2% and then rocketed 17% in August at the height of the clunkers program.
For the full quarter, Ford, Lincoln and Mercury sales were 5% higher than a year ago. And Ford estimates it gained more than 2 points of market share in September and for the full quarter -- the 11th time in the last 12 months it has gained in that metric.
Industrywide, Edmunds.com is looking for a seasonally adjusted annual sales rate of about 9.3 million cars and trucks, down from 14.1 million in August, with some leftover deliveries from the clunkers deals buoying results.
But Ford beat the expectations: The car-buying research Website predicted that sales at Chrysler and General Motors would be down by half, while Ford was expected to post a 13.3% decline.
The second company to report -- Daimler AG reported sales for its Mercedes-Benz division in the U.S. of 17,799 vehicles, a decline of 13.4% over September 2008. Mercedes-Benz cars were down 9.6% to 16,985 while sales of its Smart cars were cut by more than half to 814.
At Chrysler, total U.S. sales came in at 62,197, a decrease of 42%, with some marques like the PT Cruiser falling by as much as 90%, although the Jeep Wrangler and Grand Cherokee brands both posted gains. Total car sales fell 43% to 17,806 units, and truck sales dropped 42% to 44,391 vehicles
"While we had some bright spots in September, it was still a challenging sales environment for the industry," said Peter Fong, chief executive, in the sales report. "Low inventories of popular models at the start of the month hampered Chrysler, Jeep and Dodge sales, however, the company responded with increased production."
Like Ford, Chrysler built market share in the month, he added. Looking ahead, Fong said "We believe the remainder of 2009 will continue to be a challenge for the U.S. automotive market. Credit markets have thawed slightly, but still remain tight, and consumer confidence, as we saw in September, is tenuous."
On the plus side, Hyundai Motor America reported that its U.S. September sales rose 27% to 31,511 vehicles from 24,765 a year ago with its Accent line rising 61% to 4,864 and the best-selling Elantra more than doubling to 7,513 units.
Year-to-date, sale for the Korean carmaker are up 1.4% and September was its ninth consecutive month of year-over-year gains in retail market share.
"While consumer demand following the cash-for-clunkers program softened during the month of September, we are encouraged with our continued growth in retail share and overall sales through the first nine months of the year," said Dave Zuchowski, vice president of sales, in the report
General Motors sold some 156,673 vehicles in September, a slump of 45% with retail sales off 46% and fleet sales declining 43%. Car sales were down 43% and total truck sales -- light and heavy -- plummeted 47%.
On a percentage basis, Cadillac saw the smallest dive, down 9% to 11,339 vehicles, with the largest decline in the soon-to-be-wound-down Saturn division, which posted a 84% drop in sales to 2,993 units. GM's best-selling Chevrolet division posted a 41% decline for the month to 102,538 vehicles.
"September was a tough transitional month for the industry, and a difficult year-over-year comparison for GM," Mark LaNeve, vice president of U.S. sales, said in the report. "Fortunately, the fourth quarter looks brighter and our year-over-year comparisons should look more favorable."
Ford was first off the mark, reporting its U.S. auto sales for September dropped 5.1% to 114,655 vehicles from 116,734 a year ago. Total Ford, Lincoln and Mercury sales fell 5.8% to 109,939 units while Volvo sales rose better than 16% to 4,716.
Retail sales fell 14% percent while fleet sales jumped 23%. The company said its new Taurus "bucked an industry trend" as sales last month came in at 5,077 units, 60% higher than a year ago and half as much again as in August.
Ford said its total truck sales, which include SUVs and crossovers, dropped 6.9% to 71,049 units. In July, Ford's total sales rose 2% and then rocketed 17% in August at the height of the clunkers program.
For the full quarter, Ford, Lincoln and Mercury sales were 5% higher than a year ago. And Ford estimates it gained more than 2 points of market share in September and for the full quarter -- the 11th time in the last 12 months it has gained in that metric.
Industrywide, Edmunds.com is looking for a seasonally adjusted annual sales rate of about 9.3 million cars and trucks, down from 14.1 million in August, with some leftover deliveries from the clunkers deals buoying results.
But Ford beat the expectations: The car-buying research Website predicted that sales at Chrysler and General Motors would be down by half, while Ford was expected to post a 13.3% decline.
The second company to report -- Daimler AG reported sales for its Mercedes-Benz division in the U.S. of 17,799 vehicles, a decline of 13.4% over September 2008. Mercedes-Benz cars were down 9.6% to 16,985 while sales of its Smart cars were cut by more than half to 814.
At Chrysler, total U.S. sales came in at 62,197, a decrease of 42%, with some marques like the PT Cruiser falling by as much as 90%, although the Jeep Wrangler and Grand Cherokee brands both posted gains. Total car sales fell 43% to 17,806 units, and truck sales dropped 42% to 44,391 vehicles
"While we had some bright spots in September, it was still a challenging sales environment for the industry," said Peter Fong, chief executive, in the sales report. "Low inventories of popular models at the start of the month hampered Chrysler, Jeep and Dodge sales, however, the company responded with increased production."
Like Ford, Chrysler built market share in the month, he added. Looking ahead, Fong said "We believe the remainder of 2009 will continue to be a challenge for the U.S. automotive market. Credit markets have thawed slightly, but still remain tight, and consumer confidence, as we saw in September, is tenuous."
On the plus side, Hyundai Motor America reported that its U.S. September sales rose 27% to 31,511 vehicles from 24,765 a year ago with its Accent line rising 61% to 4,864 and the best-selling Elantra more than doubling to 7,513 units.
Year-to-date, sale for the Korean carmaker are up 1.4% and September was its ninth consecutive month of year-over-year gains in retail market share.
"While consumer demand following the cash-for-clunkers program softened during the month of September, we are encouraged with our continued growth in retail share and overall sales through the first nine months of the year," said Dave Zuchowski, vice president of sales, in the report
