General Motors isn’t reporting monthly sales anymore, but maybe it should. The company’s May sales beat analyst estimates -- and all major rivals -- with a gain of 12 percent, people familiar with the matter told Bloomberg.
GM’s sales gain exceeded the average analyst estimate for an 11 percent increase and Fiat Chrysler Automobiles NV’s 11 percent jump. Most carmakers topped expectations, as the economy remains strong and federal tax cuts have given consumers more money to spend.
GM had an especially strong month with its large pickups, which will be the oldest in the market when they are replaced this fall. The Chevrolet Silverado had an increase of 23 percent and the GMC Sierra was up 10 percent, said one of the people, who asked not to be identified because the information is private.
The automaker boosted incentives in the month to stay competitive in the pickup market. Chevy spent an average of $5,863 per truck while FCA’s Ram brand spent $5,676 a truck. Ford spent just under $4,000 per pickup to help sales, according to J.D. Power data obtained by Bloomberg.
GM shares rose 1.2 percent to $43.20. The shares soared almost 13 percent on Thursday after the company announced that SoftBank Vision Fund plans to spend $2.25 billion to acquire almost 20 percent of GM Cruise Holdings LLC, the automaker’s self-driving car unit.