Fiat Chrysler Sales for April in U.S. Increase Thanks to Jeep

Fiat Chrysler Automobiles said its sales in the U.S. were up 5.6% during April, which beat estimates of analysts and extended it monthly gains streak to over six years on sales of the hugely popular Jeep SUVs and RAM pickups.

Sales at FCA ended April at 199,630 cars as well as light trucks said the automaker in a Tuesday statement. On average, Wall Street analysts were expecting growth of 4.3%.

Jeep sales helped bolster the profit of the first quarter and jumped by 17% from the same month last year as the Renegade and Compass saw sales more than double, helping to complement the brands top-selling four models.

The Ram trucks were up over 12% in sales to 45,811.

The head of sales in the U.S. for FCA Reid Bigland said that the consumer’s preference for pickup trucks and SUVs continued throughout April to help propel the company to its strongest sales for April in the past 11 years.

The company has increased its production of its SUVs as well as pickups to meet the demand of consumers.

Since the automaker is very reliant on the sales of pricey SUVs and pickups, its continued growth in sales is a good sign that consumers remain confident enough to maintain their spending.

In 2016, the industry could be on pace to set record sales for vehicles, which would help the automakers keep their lofty profits for the following year.

Fiat Chrysler was the first company to post its sales for April and analysts’ project gains for the majority of the large U.S. and Japanese carmakers.

Even as the consumer slowed down purchases of new-vehicles in March, a labor market that remained strong, cheap gasoline and available credit will help fuel 17.8 million new vehicle deliveries during 2016, beating the record set last year showed an industry survey.

Prior to the results from Fiat Chrysler being released, an industry analyst said Wall Street is expecting sales to return on track starting in April, which if FCA is any indication that opinion looks good.

Analysts were expecting Fiat Chrysler to post the third biggest gain amongst the large automakers, behind estimates of 11% for Nissan Motor and 10% for Honda.

The average projection came out as 17.5 million annualized selling rate for April, adjusted for the seasonal trends.

A pace like that would show an increase from April of 2015 of 800,000, which had one day less of sales than March.

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