Honda’s US sales in January
In January 2018, Honda Motor Company’s (HMC) American division reported a YoY (year-over-year) fall of ~1.7% in its US market sales volumes.
The company sold 105,000 vehicle units in the United States last month compared to the 106,000 units it sold in January 2017. January was the second consecutive month in which Honda’s US sales fell YoY.
Weakness in truck sales hurt
Honda’s total US sales in January witnessed headwinds from the weakness in its truck segment’s sales.
Last month, HMC’s total US car sales volumes were at 48,000 units, a fall of 0.7% YoY. This sales figure was much lower than its US car sales of 63,000 units in December 2017.
In addition, Honda reported a fall of 2.5% YoY in its truck sales volumes last month to 56,000 units—much lower than the 87,000 units it sold in the previous month.
Honda locally manufactures most of its cars in the United States, but it also imports a small number from manufacturing facilities located outside of the United States. In January 2018, the company’s US manufactured car sales rose 7.9% YoY, whereas its imported car sales fell a massive 37.7% YoY.
2017 US sales were positive
Unlike its Japanese peer Toyota Motor (TM), Honda’s 2017 US sales stayed in the green. In 2017, HMC sold ~1.6 million vehicle units in the United States, a marginal rise of 0.2% YoY.
Interestingly, Honda was the only mainstream automaker to report gains in its US market sales in 2016. Other automakers (IYK) General Motors (GM), Ford Motor Company (F), and Toyota reported sales falls in the year. Similarly, HMC managed to report positive US sales growth in 2017, unlike GM, Ford, and Toyota.
In the next part, we’ll see what analysts recommend for foreign automakers’ stocks after their January 2018 US sales reports.