Americans continue to buy vehicles nearly as fast as they arrive on dealer lots, as the nation is rife with stories chronicling perpetually empty lots and some establishments making bank with obscene markups.
We’ll leave those latter two topics for another day. Meanwhile, despite a consumer hunger for new cars, the market is down sharply compared to this time last year – double-digit percentages, in fact.
The earnings picture is growing gloomier at Ford, with the automaker now preparing investors for a steep loss in the first quarter of the year. After posting a poor Q4 report for the end of 2019, some of that pre-pandemic weight could carry over onto this report card — where it will mix with U.S. sales that tanked in the middle of March.
If only it was American sales Ford needed to worry about.
We’ve kept light tabs on Harley-Davidson over the past few years, typically to chronicle its downward progress in an effort to make parallels between it and the world’s automakers. Despite having its share of ups and downs throughout its long history, the motorcycle brand finds itself with an impressively loyal customer base willing to pay premium prices for its product.
Unfortunately, its key demographic is quickly aging out of the hobby. In response, the company turned its focus towards younger generations. While Boomers living in America remain H-D’s most important clientele, it’s seeking to branch out into other markets and age brackets. It’s also attempting to rebrand itself to achieve broader appeal without torpedoing the heritage angle that has worked so well for it in the past.
When we last checked in with Harley-Davidson, the company had just delayed its all-electric LiveWire — a bike aimed at helping the brand tap into a new market while broadcasting its ability to gaze ahead into the same vague future automakers are now struggling with. H-D has since released its Q4 earnings for 2019.
The prognosis could be better.
Porsche Cars North America is the latest automaker to join the expanding list of manufacturers abandoning monthly sales reports in favor of a quarterly format. Detroit has made the changeover entirely, with General Motors swapping to quarterly reports in 2018, only to be followed by Ford and Fiat Chrysler the following year. While Asian manufacturers tend to prefer monthly updates, both Hyundai and Nissan are considering trying quarterly reports within the next twelve months.
As for the German manufacturer, Automotive News cited Porsche as wanting to keep a better eye on the bigger picture. But the plan also runs some risks, especially when some automakers are on the monthly schedule and others report just four times per year.
The futuristic world of personal transportation sans ownership was, once again, called into question after Uber posted its largest-ever quarterly loss on Thursday. The $5.2 billion dollar dent was accompanied by a Q2 that also showcased slowed growth, the worst the ride-hailing firm has ever seen.
While Uber attributed a large portion of its losses ($3.9 billion) to the employee stock compensations it needed to issue after its initial public offering in May, the remaining $1.3 billion still represents increased losses over last year’s results. Uber also said it expects to lose $3 billion through the end of 2019.
Despite revenue continuing to grow to roughly $3.1 billion, up 14 percent from last year, it’s the slowest quarterly growth rate in Uber’s history. However, the company claimed that “healthy growth” is what it’s primarily seeking at this time — and made a point of noting so on numerous occasions.
Nissan is currently preparing a financial report that is alleged to show its first-quarter profit falling by around 90 percent, necessitating over 10,000 job cuts. The company told the world to brace for a bad year in May, following an abysmal earnings report for the 12-month period ending on March 31st, 2019. At the time, CEO Hiroto Saikawa said the automaker had “hit rock bottom.” But Nissan is still falling, if reports are to be believed.
The Japanese company released a statement that vaguely refutes the claims against on Wednesday while also validating them. However, numerous unnamed insiders have suggested the reports are accurate and several named staffers acknowledged that the automotive firm was facing serious problems.
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- Conundrum Was unlucky enough to have a ride in the back of one of these things shortly after they first appeared, a project of Mercedes' ownership of Chrysler and that silly German professor with the gigantico walrus mustache who ran the place.Brother rented one of these early Magnums. The ride in the back was of constant wallowing up and down, like a 2015 BMW 3 Series, where my senses were similarly assaulted by lack of attenion to rear ride comfort, Up front was OK in both, back seat ride bloody awful. Must be a Germanic trait.The Magnum had an additional sensory deficit. Interior smelled of the peculiar rubber/plastic dash. Smelled like Chinese winter boots for kids, or Chinese tires of yore. Pass.
- Anonymous My dad drove an 84 LTD. He always bragged about how special it was. Interesting to see that again.
- Conundrum Here's how much Ford had to do design-wise with that engine in the article's lead picture.Zero. It was a Cosworth when Cosworth was still original Cosworth, over 30 years ago. The engine shown is a development of the original DFV. Ford paid to have its name on the cam covers for decades.I wonder who Ford will get to design this proposed new F1 engine for 2026. Because sure as hell, they don't have the in-house talent to do it themselves.
- Sayahh Story idea or car design competition: design a compact sedan, a midsize sedan, coupe and/or wagon specifically for people 6'4" through 7'2". Not an SUV nor a crossover nor a raised chassis like the US Toyota Crown or Subaru Outback.
- Sayahh I only check map app only when absolutely necessary and only at a red light. An observation: lots of ppl leave 2 car lengths (or more) between themselves and the car ahead of theirs so that they can text or check the internet (because they are afraid they might roll forward and hit the car in front of them?) This drives me crazy because many ppl do it and 3 cars will take up almost 7 car lengths and ppl cannot get into the left turn lane when it's bordered by a cement "curb." Worse is when they aren't even using their phone and have both hands on the stewring wheel and waiting for the green light. Half a car length is enough, people. Even one car length is too much, but 3 or 4 car lengths? At 40 MPH, maybe, not at 0 MPH please.