Detroit, Michigan – General Motors achieved its strongest quarterly sales performance in over three years, demonstrating significant growth in sales of full-size pickup trucks and electric vehicles. The Detroit automaker announced on Tuesday that it recorded sales of 696,086 units in the second quarter, marking a 0.6% increase from the same period last year and setting a new record since the fourth quarter of 2020.
One notable highlight was the 40% boost in deliveries of electric vehicles, totaling 21,930 units in comparison to the previous year. Despite this growth, electric vehicles accounted for just 3.2% of General Motors’ total sales for the second quarter. Market analysts, including Cox Automotive and Edmunds, projected that industrywide sales for the second quarter, which included July 1, would remain relatively flat compared to the previous year due to a slowdown in retail demand.
However, an unexpected factor impacting sales in the second quarter was the cyberattacks on dealer software provider CDK Global. A ransomware attack on June 19 forced CDK to suspend its dealer management system, affecting nearly half of all dealerships in North America. The repercussions of this cyberattack disrupted sales operations during a crucial period for dealerships, leading to delays and the need to find alternative selling methods to mitigate the impact.
Major publicly traded franchised dealership groups, including Asbury Automotive Group, AutoNation Inc., Group 1 Automotive Inc., Lithia Motors Inc., and Sonic Automotive Inc., disclosed their reliance on CDK as their primary dealership management system provider. Despite the challenges posed by the cyberattacks, industry experts like Jessica Caldwell, Edmunds’ head of insights, are optimistic that the sales impacted in the second quarter can be recouped in the third quarter.
As the automotive industry navigates through unforeseen challenges, General Motors’ impressive quarterly performance reflects resilience and adaptability in the face of evolving market dynamics. With a focus on innovation and sustainability, the company’s success in both traditional vehicle segments and the electric market positions it for continued growth and success in the coming quarters.