NISSAN: December sales surged 7.6%, but annual results still fell
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January 03, 2019 04:32 PM

NISSAN: December sales surged 7.6%, but annual results still fell

Urvaksh Karkaria
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    DAVID PHILLIPS

    Nissan North America's sales had an 11th-hour surge in 2018, fueled by strong retail volume.

    The group's U.S. deliveries rose 7.6 percent to 148,720 cars and light trucks in December. Nissan sales were projected to decline 5.6 percent last month, based on a survey of analysts by Bloomberg.

    The Nissan division sold 130,655 vehicles in December, up 7.2 percent from the same period a year ago. Infiniti sales, meanwhile, ticked 10 percent higher to 18,065 units.

    "Our sales through dealers into driveways ... was really, really strong in December," said Billy Hayes, division vice president for Nissan regional operations in North America. "We remained focused on the sustainable retail growth and ... a better model year transition this year."

    A strong December, however, was not enough to stanch a sales decline for the year. Combined U.S. sales of Nissan and Infiniti car models slid 6.2 percent in 2018, to 1,493,877 units.

    Demand for utilities and pickups drove Infiniti light-truck sales up 41 percent in December. Nissan division truck sales, meanwhile, rose 11 percent in December.

    Nissan Rogue crossover sales set an all-time monthly record with 42,523 units, up 5.9 percent. Sales of the Frontier pickup accelerated 27 percent in December to 7,492 units.

    "The Frontier has got a tremendous value in the marketplace," Hayes said Thursday. "When you compare to the competition, even on the sticker we are like $5,000-to-$6,000 less MSRP."

    The Nissan division even eked out a 2.1 percent increase in car sales last month, powered by growth in Sentra, Maxima and Leaf volumes.

    "We are still extremely confident in sedans," Hayes said, noting updates to the Altima and Maxima.

    A diverse product portfolio and manufacturing flexibility allows Nissan to adapt to shifting consumer preferences.

    For Nissan, 2019 brings stiff competition and new entries in the nonluxury space, said Akshay Anand, executive analyst at Kelley Blue Book.

    "The bigger picture is how Nissan handles 2019 and beyond with new ideas likely floating in from executives with new responsibilities and larger say," Anand said.

    Brands: Nissan up 7.2% in December and down 6.6% for 2018, Infiniti up 10% in December and down 2.7% for 2018.

    2018 U.S. light-vehicle market share: 8.6 percent vs.9.2 percent in 2017.

    Notable nameplates: Nissan Titan sales down 17%, Maxima up 12%, Altima down 6.2%, Rogue up 5.9%, Infiniti QX50 up 87%, Infiniti Q50 down 34% .

    Incentives: $4,573 per vehicle, unchanged from a year earlier, ALG says.

    Average transaction price: $28,759, up 1.5% from a year earlier, according to ALG

    Quote: "We are still bullish on '19. People are buying cars. Unemployment is still very, very low, interest rates ... are still relatively low compared to where historically they've been. Gas prices are low, they continue to go down. Housing starts are going up."

    Did you know? 2018 was the best year for Rogue sales. Nissan sold 412,110 units of the crossover, up 2 percent from the prior year.

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