F-series sales in July 2018
In July 2018, Ford Motor Company’s (F) F-Series US truck sales were at 70,949 units, a 2.1% increase in sales on a YoY (year-over-year) basis. In June, the company saw sales of 79,204 units in the US, up 1.7% YoY. July 2018 was the 15th consecutive month that Ford reported YoY gains in its F-Series US sales.
Last year, the company’s F-series truck US sales were at 0.90 million units, reflecting 9.3% YoY growth. With this, 2017 stood out to become the best year for F-Series US sales since 2005. Except in April 2017, F-Series sales grew positively in all other months of 2017.
In the last couple of years, Ford has managed to smartly revive its F-Series sales in its home market. In 2015, the company made the decision to launch new aluminum body variants of its F-Series trucks to improve fuel economy and reduce raw material costs at the same time.
In the first seven months of 2018, the demand for F-Series truck models including King Ranch, Lariat, Platinum, and Limited Super Duty truck variants remained strong. In July 2018, F-Series trucks’ ATP (average transaction price) was at $46,500, up $1,500 as compared to July 2017.
In the pickup truck segment, legacy auto companies (XLY) such as General Motors (GM), Toyota (TM), and Fiat Chrysler (FCAU) compete with Ford F-Series. GM’s Chevrolet Silverado, Toyota’s Tacoma, and FCAU’s Ram are some of the notable light truck brands in the American market.
Helping Ford in bad times
In 2017, Ford underperformed the broader market as its stock inched up by 3.0% as compared to 19.4% gains seen in the S&P 500 Index. In 2018 so far, Ford’s stock has disappointed investors, and it was trading with a 23.1% year-to-date loss as of August 14. The company’s dismal 2018 financial outlook and ongoing trade tensions could be one of the reasons for investors’ negative sentiments in the last couple of months.
While consistently rising F-Series US market sales are helping Ford in bad times, the company may not be able to keep optimism alive among investors as its total US sales don’t seem promising.
Continue to the next part where we’ll learn about Ford’s US retail and detailed truck segment sales in July 2018.