Finance
EV sales increase 61% for Ford and 40% for GM thanks to Tesla ‘Conquests’
Ford engine (F) connected General engines (GM) by reporting that US auto sales grew slightly in the second quarter despite headwinds. Both automakers saw electric vehicle sales rise in the second quarter, a hopeful sign that production of newer electric vehicles may increase after supply issues. Ford also reported record quarterly sales of hybrid vehicles.
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But Ford, a leader alongside GM in pickup trucks, continued to see sales decline for its key F-150 truck, Wednesday’s Q2 sales report showed.
Automakers – including GM, Toyota engine (T.M), Honda engine (HMC) and Chrysler parent Stellantis (STLA) – reported second-quarter new vehicle sales in the US market on Tuesday. Investors also watched sales of electric and hybrid cars as the auto giants tried to move away from traditional cars with combustion engines. Ford announced second-quarter sales on Wednesday.
early Tuesday, Tesla (TSLA) exceeded expectations for global shipments in the second quarter, but sales fell for the second quarter in a row. Tesla shares jumped above a key level. Tesla’s startup rival Rivaans (RIVN) also reported electric vehicle deliveries in the second quarter.
Overall, U.S. new vehicle sales rose just 0.1% in the second quarter from a year ago, according to Motor Intelligence. High interest rates and still-high car prices continue to keep car buyers on the sidelines, experts say.
Here’s how analysts at Cox Auto expected automakers to perform. The estimates show estimates and results for second-quarter sales volume, as well as sales growth or decline versus the second quarter of 2023. The June 19 cyberattack on software provider CDK likely put a dent in U.S. auto and EV sales .
Record EV sales for GM
Sales estimate for the second quarter: 697,804 vehicles, an increase of 1.2% year-on-year.
Results: GM delivered 696,086 vehicles in the second quarter, up 0.6% from a year ago. For the first six months of 2024, GM reported 1,290,319 deliveries, down 0.4%. US car sales in the first quarter were down 1.5%.
In the second quarter, General Motors had its best auto sales quarter since the fourth quarter of 2020, as well as its best EV sales quarter ever, the company’s sales note said Tuesday. GM delivered 21,930 electric vehicles, up 40% from the second quarter of 2023 and up 34% from the first quarter of 2024.
Sales of new Ultium-based EVs drove the second-quarter gain, led by the Cadillac Lyriq, which saw more than 7,200 deliveries in the quarter, up 441% from a year ago. Sales of older Bolt EVs dropped by 90%. Electric vehicles remain a small but growing part of GM’s overall business, accounting for 3% of second-quarter sales. The company has been trying to accelerate production of newer electric vehicles after battery bottlenecks and other supply chain issues.
More than half of Cadillac Lyriq buyers with trade-ins “were captures from a competing manufacturer, including Tesla and Lexus,” GM said.
GM shares fell 0.8% to 46.56 in Wednesday’s stock market action. The shares are showing little progress after reaching a buy point of 46.16 on June 10.
The auto giant will report second-quarter results on July 23 before the market opens.
Toyota Sales
Sales estimate for the second quarter: 642,902 vehicles, an increase of 21.5% year-on-year.
Results: Toyota sold 621,549 vehicles in the second quarter, up 9%. Sales of hybrid vehicles and electric vehicles amounted to 247,347, an increase of 63%. Those EV and hybrid sales made up 40% of Toyota’s total second-quarter U.S. sales.
Toyota Motor shares fell 0.4% on Wednesday. The shares remain below a declining 50-day moving average.
Ford claims No. 2 EV sales behind Tesla
Sales estimate for the second quarter: 551,527 vehicles, an increase of 4.5% year-on-year.
Results: Ford sold 536,050 vehicles, up 0.8%. Turnover in the first half of 2024 increased by 3.6% to more than 1 million.
In the second quarter, sales of vehicles with combustion engines fell by 5%. They fell 1.4% through the first six months of 2024, driven by F-Series trucks, Ford’s sales report showed Wednesday.
Electric vehicle sales rose 61% in the second quarter, led by the Mustang Mach-E, its Model Y rival. Hybrid vehicle sales rose 56% to set a quarterly record of 53,822 units, led by the Maverick midsize truck, which is attracting trades from small SUV and compact car owners and turning into a “hybrid growth engine,” Ford said.
“With a total of 44,180 electric vehicles sold in the first half of the year, Ford brand electric vehicles trail only
Tesla,” the sales note said. That means electric vehicles will be a small but growing part of Ford’s business, accounting for 4% of total sales in the first half of 2024. “Mustang Mach-E and F-150 Lightning attract customers from other brands” who are new are with Ford, the sales note said, without naming the brand.
As electric vehicles boomed, Ford’s F-Series trucks saw sales decline 8% through the first six months of 2024, including a 10.2% decline in the first quarter and a 6% decline in the second quarter. The F-Series trucks are by far Ford’s best seller and the company’s profit center. Ford hopes to stem the sales decline with a new F-150 model, which went on sale in March, with Wednesday’s press release indicating modest sales improvement in the second quarter.
In the second quarter, Ford’s overall truck sales grew 4.5%, driven by both the Maverick truck and the Transit van. SUV sales fell 5% during the quarter.
Ford shares fell 0.2% to 12.85 on Wednesday, remaining above the recently recaptured 50-day mark.
The automaker will report second-quarter results on July 24, after the market closes.
Honda Sales
Sales estimate for the second quarter: 365,719 vehicles, an increase of 5.4% year-on-year.
Results: Honda sold 351,457 vehicles in the second quarter. In the first half of 2024, Honda sold 690,281 vehicles, an increase of 9%.
Honda shares rose 0.3% on Wednesday, below a declining 50-day line.
Stellantis sales
Sales estimate for the second quarter: 337,906 vehicles, down 22.3% year-on-year.
Results: Stellantis sold 344,993 vehicles, down 21%.
Shares of Stellantis rose 0.5% on Wednesday, below its 50-day declining average.
Tesla, Rivian EV sales
On Tuesday, Rivian said it produced 9,612 electric vehicles and delivered 13,790 electric vehicles in the second quarter, in line with expectations. The company supported full-year production guidance for 57,000 electric vehicles.
For context, Rivian produced 13,980 electric vehicles and delivered 13,588 electric vehicles in the first quarter. The EV startup said it will report its Q2 results on August 6 after market close.
Tesla said Tuesday it delivered 443,956 vehicles in the second quarter, while producing 410,831 units. The EV giant delivered a total of 422,405 Model 3 and Model Y units, along with 21,551 “other” vehicles. Total EV sales fell 4% from last year’s 466,140 deliveries. However, it rose 15% from the first quarter.
Rivian shares fell nearly 7% on Tuesday and were down 1.8% on Wednesday, still just below the 200-day moving average. Shares of Tesla rose 9.3% on Tuesday and were up 6.9% on Wednesday, recovering the 200-day mark.
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