The July forecast from Edmunds.com called for sales of 259,000 vehicles, up 10.6% year-over-year. Going forward, GM faces stiffer competition from Ford Motor Co. (NYSE: F), which will introduce its all-new F-150 Series pickups later this year. GM’s CFO has also suggested that the company’s better-than-expected performance in the first half of the year may lead to a cutback in expectations.
Total Chevrolet deliveries are up 8% year-over-year, and Corvette sales were up 356%. The Chevy Cruze posted a drop of 17.8% in July, but year-to-date sales are up 4.5%. For the first seven months of the year, total sales are up 3.5%, including discontinued models. Chevy sales are up 2.1% and Cadillac sales are down 2% for the first seven months of the year. GMC brand sales were up 22% in July and are up 7.8% for the year.
GM’s massive recalls don’t seem to be figuring negatively into the equation. GM CEO Mary Barra’s response to the recalls that have so far cost the company $2.5 billion has been aggressively to focus on auto safety and assuring customers that GM will no longer tolerate shoddy work when it comes to making and selling cars. The message has resonated with buyers, who continue to buy the company’s cars and trucks in large numbers.
GM’s new SUVs and pickups continue to be big hits, and GM said it had the lowest incentive spending of all domestic automakers in July. GMC Sierra pickups sold 17,488 units in July, up 5.5% and total Sierra sales year-to-date are up 6.2%. Sales of the Savana SUV rose nearly 157% in July and are up more than 100% year-to-date.
GM’s stock price was down about 0.7% in the first hour of trading Friday, at $33.60 in a 52-week range of $31.70 to $41.85.
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