If you own a few shares of Ford you should be very happy this morning, for the company had one heck of a first quarter. Net income more than doubled, pretax profit hit a record level, sales rose all around the world, and when it came to earnings per share Ford hit one out of the park. Wall Street expected 47 cents a share and the Blue Oval came in at 68 cents. “We are excited about our future and confident in our ability to deliver long-term growth and profitability, as we expand our business model to be both an auto and mobility company,” said Mark Fields, Ford’s President and CEO.
Is there a market for minivans? We will find out as Fiat Chrysler is now sending its new Pacifica van to dealers. Company officials are calling it the brand’s “halo” vehicle that will take on the Toyota Sienna, Honda Odyssey, and Kia Sedona in the marketplace.
Volkswagen announced it is setting aside $8.8 billion to either fix or buy back diesel powered cars that exceed pollution regulations. But just how much this matter will cost the automaker in total remains up in the air. The VW brand posted a loss of $144 million in the fourth quarter of 2015.
If this forecast is correct, April might be a record sales month for auto makers. Kelley Blue Book predicts sales will increase 4 percent over a year ago, for a total of 1.51 units and that will top the record of 1.5 million. “Increased fleet sales and rising incentive spending among automakers remain the factors to watch, but retail demand appears to be holding steady, signaling the industry’s strong run isn’t over quite yet,” said Tim Fleming, a KBB analyst. Further, KBB is predicting a double digit sales increase for Nissan thanks to the redesigned Maxima and refreshed Sentra.
In Europe they calculate new vehicle sales by the number of registrations. And in March they increased by 8.1 percent over the same period in 2015. Like the U.S., Sport Utility Vehicles were much in demand.