Boston, MA 06/06/2014 (wallstreetpr) – One of the largest auto makers in the U.S., Ford Motor Company (NYSE:F) has recorded 3% growth in vehicles sales in May in the U.S. driven by retail sales. However, the company sees a loss from its South America region during the second quarter, as a result, of weak sales volume and currency impact.
May Sales In U.S.
Ford Motor Company (NYSE:F) has sold 254,084 vehicles during the month of May representing a 3% year-over-year upside. This is because of several model setting record sales from the retail segment with 174,889 vehicles sales thus indicating a 6% growth.
Ford Motor Company’s Fusion model set record monthly sales of 33,881 vehicles in May. This is followed by Ford Escape that recorded 31,896 vehicles surpassing the psychological 30K mark for the first time.
Similarly, the company’s Explorer model crossed 20K mark to register sales of 20,346 vehicles for the first time after July 2005. This represented an uptick of 21% from the previous year month. The other model, Lincoln also registered 21% growth in sales to 8,845 vehicles during the same period.
Ford Motor Company (NYSE:F)’s vice president for U.S. marketing, sales and service John Felice said that after May 2004, its Fusion and Escape drove the strongest result for May while Explorer continued its momentum in the mid-size segment.
Loss From South America
Ford Motor Company indicated that weak sales volume and Venezuela’s currency rate changes will impact its results from its South American region during the second quarter. As a result, the company sees a significant loss during the second quarter.
Since it has already suffered a loss of $510 million in the first quarter in South America, the expected loss in the second quarter will drive the second biggest automaker in the U.S. to report a bigger loss in the current calendar year from the region. Argentina and Venezuela had devalued their currency thus impacting Ford Motor Company (NYSE:F)’s results particularly in Venezuela in May in the absence of foreign currency availability to import parts for assembly.
