Ford F-150 pickup at a dealership in Colma, Calif. On Friday, July 22, 2022.
David Paul Morris | Bloomberg | Getty Images
DETROIT – Ford Motors Sales in the US last month fell 10% as the automaker struggled with supply chain problems that delayed shipments to dealerships.
The Detroit automaker on Wednesday reported sales of 158,327 new vehicles in October, down from nearly 176,000 units sold in the same month a year earlier. It was the second consecutive month of year-over-year declines after two months of double-digit increases due to subdued sales limited by semiconductor shortages.
Ford’s October sales were far below those of the industry overall. Edmunds reports that overall car sales increased 9.1% from a year earlier to nearly 1.2 million vehicles sold.
Ford recently encountered unique problems in the supply chain, including sourcing its highly profitable blue oval badges for pickup trucks and SUVs. The automaker had around 40,000 vehicles awaiting parts to finish the third quarter. It said last week that it plans to complete and ship those vehicles to dealerships by the end of the year.
Andrew Frick, Ford’s vice president of sales, distribution and trucks, said the automaker “continues to see strong demand for its vehicles” amid rising interest rates, record inflation and recession fears.
Ford said orders for model year 2023 vehicles totaled 255,000. About half of those were retail sales from previously placed orders, according to the company.
Ford is among a handful of automakers to report new monthly vehicle sales. Others – like General Motors Other Stellantisformerly Fiat Chrysler, they only record quarterly sales.
Ford’s October sales come a week after the company posted a net loss of $ 827 million during the third quarter, weighed down by supply chain problems and costs related to the dissolution of its Argo AI autonomous vehicle unit.
Last week, the automaker updated its guidance to forecast full-year adjusted earnings before interest and taxes of around $ 11.5 billion, the lower limit of its previously projected earnings. However, it raised its full-year adjusted free cash flow forecast between $ 9.5 billion and $ 10 billion – from $ 5.5 billion to $ 6.5 billion – thanks to the strength of the auto operations. agency.
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