The reports from the auto sector were a mixed bag of sorts, but overall the numbers will treat SiriusXM just fine. Auto sales were a mixed bag because some OEM's saw year over year declines. Despite this fact, overall auto sales were 55,000 units higher than November of 2013. November of 2014 saw sales come in just below 1.3 million units with the actual number being 1,297,218. This was about 20,000 units better than the sales in October. Sales topped analyst expectations by about 20,000 units and with a SAAR of 17.2 million, it has been the best November pace since 2003.
Market share numbers have not changed much, and the mix of sales has actually been a big positive for SiriusXM. With 2014 closing out, analysts, as well as SiriusXM, will begin projecting 2015 expectations. Thus far in 2014 we have seen total sales at 14,970,562 units. This would imply that sales will indeed eclipse 16 million this year. A realistic expectation is that December sales will come in at 1.35 million to 1.4 million units. That would bring a 2014 total to between 16.3 and 16.4 million. That is just shy of the most bullish estimates of 16.5 million at the beginning of the year.
SiriusXM garners the bulk of its subscribers from installations and free trials in new cars. Over the last few years, the growth in the auto sector has helped fuel growth in satellite radio. The hope is that the auto sector can see sales of over 17 million next year and then maintain such levels for a period of time. A lot of what happens will depend on the overall economy.