DOW JONES NEWSWIRES
Ford Motor Co. (F) posted a 3.3% jump in October U.S. light-vehicle sales, rebounding after the prior month's clunker-related decline, on higher demand for the company's new 2010 models.
U.S. sales executive Ken Czubay said fuel-efficient products were driving Ford's recent string of market share gains. Ford reported its total market share was more than 15%, higher than a year ago and the first nine months of 2009. The company has gained retail market share in 12 months over the past 13.
October's growth marks the third time in four months Ford has increased sales.
A day earlier, the auto maker reported a third-quarter profit of almost $1 billion and said it would be "solidly profitable" in 2011 on cost cutting and a turnaround in its North American business. The back-to-back quarterly profit provides the first real evidence that Ford may have turned the financial corner.
But difficult challenges remain for the auto industry. Government-backed incentives, which sparked sales globally, are winding down. Meanwhile, the recession is slowing Ford's recovery in the U.S. while pushing sales to historic lows in Russia.
On Tuesday, Ford reported U.S. companywide light-vehicle sales were 136,583, compared with 132,248 a year earlier. The figure rose 20% sequentially. There were 28 selling days in October, one more than last year.
Ford, Lincoln and Mercury truck sales fell 1.1% while sport-utility vehicle sales continued to suffer, although the 5.8% decline was more modest than prior months. Cars saw 11% growth.
Last month, J.D. Power and Associates said it projected October would see the first single-digit decline for new-vehicle retail sales in the U.S. auto market, excluding cash-for-clunkers impacts, since May 2008. J.D. Power said while the year has been difficult, the crisis will lead to efficiency gains and ultimately result in creating a healthier industry.
Ford's shares fell 0.9% to $7.51 in recent trading. The stock has more than tripled this year and is just under its 52-week high of $8.86 from early August when the company reported higher July sales.
Other auto makers will report sales later Tuesday.
-By John Kell, Dow Jones Newswires; 212-416-2480; john.kell@dowjones.com