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Hi, today we're exploring: (1) Toyota’s hybrid sales, (2) The box office’s latest woes and (3) Air travel is back. Good morning! Some companies are feeling the urge to merge, with major deals like [T-Mobile/US Cellular]( ($4.4B) and [ConocoPhillips/Marathon Oil]( ($22.5B) announced this week. Today we’re exploring: - EV slowdown: Toyota is innovating... in combustion engines. - The box office: Is not back. - Air travel: Is back. TOGETHER WITH A marathon, not a sprint Since EVs first burst onto the scene, the prevailing wisdom has been that we’re driving towards an all-electric future. But, Toyota is betting that the journey may take longer than expected, as the world’s largest auto manufacturer unveiled plans for a new generation of smaller internal combustion engines, per the [Financial Times](. The engines are set to go into production towards the end of 2026, and are the latest indication that the charge towards EV is looking more evolution than revolution, as consumers pivot towards affordable brands with longer ranges. Given its reputation for being something of a hybrid specialist, or an EV-laggard if feeling less charitable, that trend has played into the Japanese carmaker’s hands. Indeed, the company hasn’t leaned into battery electric vehicles in quite the same way that some of its peers have: in its latest fiscal year (ended March 2024), just 1.1% of Toyota / Lexus sales were BEVs, while hybrids accounted for a whopping 35%+ of vehicles sold. Speed limits Although many manufacturers are still experiencing strong growth (with some positive signs in early April data, according to [Bloomberg]( US sales of BEVs were basically flat in Q1 ’24. Much of how the rest of the year shakes out will depend on the product pipeline of major players like Ford, GM, and Tesla — the last of which accounts for roughly half of the market, but has given only vague hints about its future product roadmap. Toyota is hedging its bets by investing in EVs and innovating in transition technologies like hybrids and plug-in hybrids... a good strategy if you believe, as the company’s chairman does, that BEV sales may hit a ceiling at just [30% of the global market](. [Read this on the web instead]( Garfuriosa Hollywood had an unremarkable Memorial Day Weekend this year, as the American box office notched an estimated $132M from Friday through Monday — the lowest total gross (excluding the pandemic era) in 26 years, according to data from [Box Office Mojo](. Both Furiosa, the 5th installment in the popular Mad Max franchise, and The Garfield Movie, the 6th film in the [Garfield cinematic universe]( struggled over the long weekend, which is typically a heavy hitter in the box office calendar. Indeed, despite favorable reviews, Furiosa: A Mad Max Saga took just $32M over the 4-day period, the [lowest gross]( for a Memorial Day #1 debut since Casper in 1995 (not adjusted for inflation). Flop era Hollywood’s holiday disappointment is very much in keeping with what’s been a [seriously slow start]( to 2024 at the US box office, with hopes now pinned to Marvel’s Deadpool & Wolverine — which is still 2 months out — to save ailing ticket sales and turn the year around following a string of “[megaflops](. Last year, takings across the 4-day period sat at a comparatively gargantuan $204M, while 2022’s was even more impressive at $223M, in no small part thanks to the sensation that was Top Gun: Maverick. The truth, which is hard for cinema-lovers everywhere to reconcile with, is that the box office is just not what it once was, and shows few signs of getting back to its glory days. What’s to blame? Streaming, “sequelitis”, the pandemic, the size of your TV at home... maybe even [all of the above](. [Read this on the web instead]( [Sponsored by Rocket Mortgage]( Home sales are coming into season According to data from the [National Association of Realtors]( US housing sales are about to see their summer peak. Typically, June marks a significant uptick in housing market activity. More homes up for sale brings a vibrant market for buyers — and with it, a seasonal spike in demand. A bustling market calls for brokers that are a cut above. [Rocket Mortgage]( is just that. Affordable, approachable, and available… with an expert team dedicated to propelling buyers above the peaks and landing them on the doorsteps of their dream homes. The scorcher: Rocket Mortgage are offering Chartr readers an exclusive [$1,000 off closing costs and more using this link]( [Prep for the peak: Get pre-approved with Rocket Mortgage]( Jet set While box office numbers flagged this Memorial Day weekend, airplane passenger numbers took off, with the TSA reporting a record-breaking 2.95M travelers passing through airport security [on Friday]( — the highest number ever on a single day. That’s up from the previous record of 2.9M, set on the Sunday after last year’s Thanksgiving weekend, and far surpasses passenger counts seen since 2020 as air travel recovered from a pandemic-era slowdown. It seems now, though, that Americans are back to catching flights in full force. According to [TSA]( data, the average daily passenger throughput for 2024 so far is 2.36M, some 47% more than that seen for 2021, and similar to the average recorded for full-year 2023 (2.35M)… even before we reach the heights of summer holiday season. Indeed, [Airlines for America]( have forecast that 271M passengers will travel on US airlines between June 1 and August 31 this year, up more than 6% from the previous summer. Hot air But as airports prepare for their busiest summer yet, the industry is still grappling with a shortage of some 3,000 air traffic controllers across the US, per the [FAA]( as well as climate complications that could wreak havoc on weather conditions. Indeed, America is gearing up for another scorching summer, which can, in turn, lead to more extreme weather events — with the upcoming Atlantic [hurricane season]( already predicted to be the most aggressive on record. [Read this on the web instead]( More Data • Can’t stop: A record number of S&P 500 companies [mentioned “AI]( on their Q1 2024 earnings calls: 201, up from 131 in the same period last year. • Only 3 Fortune 50 CEOs will be making [commencement speeches]( at colleges this year, possibly the result of rising tensions that have led to student arrests and high-profile resignations. • June is peak home buying month in the US, with average sales hitting an average of 18,250 existing homes a day, [per NAR](. Riding the housing market heat wave? [Rocket Mortgage]( is on hand to help, with lender credit of $1,000* for Chartr readers when they lock in a loan [using this link]( • Soda, so good: Lower-sugar soda startup [Olipop]( is expected to reach $500M in sales in 2024 — more than double the $200M it made only last year. **This is sponsored content. Hi-Viz • Cool visual of the non-English films that have [broken through at the Oscars](. Off the charts: What are Millennials doing significantly more than Baby Boomers or Gen X? [Answer below]. A) Buying homes with friends B) Smoking marijuana C) Buying cryptocurrency D) Investing in Nvidia [Answer here](. Thanks for stopping by! Have some [feedback](mailto:daily@chartr.co?subject=Feedback&body=Hi%2C%0A%0AI%20like%20the%20newsletters%2C%20but%20I%20had%20a%20thought%20for%20you...) or want to [sponsor]( newsletter](mailto:james@sherwoodmedia.com?subject=Chartr%20NL%20Sponsorship%20Enquiry%20)? Not a subscriber? Sign up for free below. [Subscribe]( Advertiser’s Disclosure: *Clients will receive a lender credit of $1,000 when they lock a loan on or after October 20th, 2023, utilizing the Chartr Newsletter application link. Offer cannot be retroactively applied to previously closed/locked loans. Offer does not apply to new loans submitted through non-retail loan originators, including brokers. Additional restrictions apply. 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