Key Takeaways:
- EPS missed by 30.9%
- Revenue missed by 0.2%
- Total revenue: $47.8 billion, up 6% YoY, up 12.5% QoQ
- Stock down 17% post-earnings
- Ford Pro delivered strong performance with $2.6 billion EBIT and 15% margin
- Model e generated a loss of $1.1 billion due to pricing pressures and lower volume
- Ford Blue revenue grew 7% but EBIT declined due to higher warranty costs
- Company raised full-year adjusted free cash flow guidance by $1 billion
- Ford is increasing Super Duty production capacity by 100,000 units in Ontario
Forward-Looking Statements and Insights:
Jim Farley, President and CEO: “We believe that the fitness of the Chinese in EVs will eventually wash over our entire industry in all regions. And so we believe as a company, even if there were short-term adjustments we can make to a compliance-led, lower requirement lineup, we’re not going to approach it that way.”
John Lawler, CFO: “We are increasing our adjusted free cash flow guidance by $1 billion to $7.5 billion to $8.5 billion, supported by strong earnings and lower-than-planned CapEx. We are keeping our CapEx target range of $8 billion to $9 billion and are focused on delivering at the low end.”
