Ford Sales Fell 21 Percent in November
Ford's November sales fell 20.9 percent due to a low supply of F-150 pickups due to pandemic related plant shutdowns, according to CNBC.
Sales of the F-150 were nearly halved compared to November 2019, down 45.9 percent. From October to November of 2020, F-150 sales fell 27.2 percent. Ford shares were down 50 basis points in intraday trading Wednesday. The company currently has a market value of $36 billion with shares down around 1 percent since the start of the year.
The auto industry has been experiencing a supply problem since the pandemic decimated supply chains and led to temporary plant shutdowns that lasted almost two months. To make up for lost time, industry leaders have been running plants as much as possible to keep up with dealer demand.
“F-150 inventory continued to tighten as we moved through our Q4 changeover to the all-new F-150,” said Mark LaNeve, Ford vice president, U.S. marketing, sales and service. “This was a result of coronavirus-related production stoppages in Q2 and a strong sell-down of the current model F-150.”
Ford also noted that a “renewed focus on stay-at-home policies due to rising coronavirus cases” and the loss of a selling weekend during November compared with a year ago as reasons for sales falling. Ford's sales for the year are down 16.8% through November.
Ford has been working on being more transparent with Wall Street, a motive that new CEO Jim Farley came out of the gates vocalizing. This makes the second consecutive month that the automaker has released monthly sales. In the past, Ford has released US vehicle sales on a quarterly basis.