Seeking Alpha
Growth, value, special situations, momentum
Profile| Send Message|
( followers)  
Auto sales for July 2007 are in, and as we do each month, we have outlined the sales performance of the major auto players in the sector. It is important to note that this report and the accompanying chart show car sales, and not satellite radio installation. Different auto makers have different installation rates of SDARS radios. Some auto makers have relationships with both Sirius and XM, while others have exclusive relationships.

Another important consideration is that Sirius’ biggest contributors develop subscribers which are tied to production of cars, while XM’s biggest contributors develop subscribers which are tied to sales.

sat radio cars

Some interesting facts about July 2007:

1. Only 11 Out Of 36 Auto Makers Had Positive Sales YoY.

2. 7 Of The 11 In With Positive Comparisons Are Exclusive Sirius Partners. 1 Of The 11 Is An Exclusive XM Partner, And 3 Of The 11 Have Relationships With Both.

3. Chrysler Group finished the month with 464,875 units of inventory, or an 81-day supply (2.7 months). Inventory is down by 17 percent compared to July 2006 when it was at 560,210 units. This is the lowest dealer inventory for Chrysler Group in the last four years.

4. Ford Motor Company stated that its inventory number is 496,000 (less than 2.7 months), and substantially lower than its July ‘06 inventory of 674,000.

5. GM stated that their inventory was 548,000. Selling days was not given.

Source: July Auto Sales Look Better For Sirius' Partners Than XM's