Which of the five major US automakers is the most profitable?
Posted On June 17, 2021
The Big Five US auto companies are more profitable than the four other large US companies, according to a new study released by the National Automobile Dealers Association (NADA).
In fact, NADA found that four of the Big Five are more financially profitable than GM, Ford, Chrysler, and General Motors.
NADA analyzed more than 4.3 million transactions over the past five years by analyzing the sales volume and profit for all five of the companies.
The analysis found that the Big 5 companies are among the most successful in the country.
The five most profitable companies in the United States for the past decade:1.
Fiat Chrysler & Fiat Chrysler Automobiles(source: NADA) The five most successful US auto brands in the past 10 years:1: General Motors – $6.9 billion2: Ford – $5.4 billion3: Chrysler – $4.9 bilion4: GM – $3.9Billion(source NADA – 2018) The 5 most profitable US car companies:1) Ford -$3.4Billion2: GM$3Billion3: Ford$2.5Billion4: Chrysler$1.9 Billion5: Fiat Chrysler& Chrysler Automobile(source : NADA )The study finds that while the US auto industry continues to see record-low sales volumes, the Big five are seeing record-high profits.
While the Big three automakers are still the largest in terms of sales volume, their profits have grown dramatically.
In 2015, the combined profits for all Big five companies were $8.5 billion.
This year, they are all in the neighborhood of $6 billion each.NADA found the following chart shows the profitability of the major US auto manufacturers in the years 2015, 2016, and 2017.
GM: $7.2 billion2.
Chrysler: $5 billion3.
Ford: $4 billion4.
Ford &) Chrysler:$3 billion5.
GM -$2 billionThe bottom line:The Big Five automakers are the top three companies in terms the average revenue per customer, while the other three companies rank between the bottom three and fourth.
The Big five also rank in the top five in terms gross profit, profit margin, and sales volume.
The US auto market is still a big mess.
There are a few positives to be found.
The average cost of a new car is down significantly.
There is more competition in the US market.
The cost of gas is down.
There has been a surge in the number of low-cost suppliers.
These are good signs.
The US auto economy is not suffering a collapse.
The economy is still growing, with new orders and sales of vehicles.
But it is clear that the US is not a one-trick pony.
We need to invest more and invest more aggressively to make sure that we keep our jobs, our factories, and our roads safe.