Breaking News

The effect of the second quarter profits for Ford star-news.press/wp

Ford Motor’s profits in the second quarter of analysts’ expectations, but not without a great success of tariffs.

The car manufacturer has reported the profits of 0.27 cents and revenues of $ 50.2 billion after the market was closed on Wednesday. The profits fell 10 cents from last year, while revenues increased by 5 %.

Ford reported a net loss of $ 36 million, noting the costs associated with the field service and canceling the electric vehicle program. Its modified profits before interest and taxes amounted to $ 2.1 billion, which Ford said that Ford included 800 million dollars of “clear, tariffs related to tariffs.”

FactSet said that Wall Street estimated profits per share of $ 0.33 and sales of $ 45.8 billion, according to Baron.

Ford’s shares were closed at $ 10.91 and continued to decline in trading after working hours after opening at $ 11.13. About 5 % has increased since the presidential elections last year. Analysts included in the poll by FactSet Ford gave the average target price of $ 10.31.

The company also returned its instructions in the entire year for 2025, as EBIT was adjusted 6.5 billion dollars to $ 7.5 billion, a free cash flow rate from $ 3.5 billion to $ 4.5 billion, and capital spending is about 9 billion dollars, in addition to the “clear unique winds” of $ 2 billion. In May, Ford was She pulled her guidance For the rest of the year due to the effects of unconfirmed tariffs.

Cfo Sherry House said during the company’s profit call that Ford’s liquidity is “historically strong”, which can help the company to continue investing through economic shrinkage – such as definitions.

Ford said its new guidelines “reflect the strong performance in the first half in the first half via Ford Blu, Ford Model E, Ford Pro and Ford Credit, and the continuous improvement in cost.”

Ford announced the distribution of regular profits of $ 0.15 per share in the third quarter to pay on September 2.

While Ford Pro achieved $ 2.3 billion, Ford Blue received $ 661 million in EBIT, but the Ford Model E had a loss of $ 1.3 billion, which represents an increase in the loss of $ 179 million compared to the same period last year. The company said that the customs tariff, EV investments, and the addition of a new battery factory contributed to the results of the Ford Model E.

Ford Credit has reported $ 645 million before taxes, an increase of 88 % over last year.

“Our public budget continues to obtain the strongest and enable our ability to invest in the areas of strength,” House said in a statement. “We reshape Ford in highly growing, marginal and most durable businesses-and allocate capital where we can compete, win and grow.”

In April, President Donald Trump put 25 % on imported cars. Since then, you love some countries Japan It negotiated the decrease in definitions. But the customs tariff on the parts of the car is certain Mexico and Canada You can experience rates higher than 25 % foundation. In addition, imported steel and aluminum are subject to a 50 % tariff rate.

Ford collects its cars around locations all over the world, but primarily manufactures its cars in the United States and some in China.

In response to the definitions by 25 %, Ford offered Pricing employees for customers On some vehicles until July 4. This deal contributed to Increase sales in May.

At the same time, Ford High prices In May in some vehicles made in Mexico by $ 2000, Reuters report It was found, partly due to the Trump car tariff. High prices began to influence the forms sold in agents, starting in late June. The house had previously said Ford expected that Price increase For its American vehicles by up to 1.5 % in the last half of this year due to the customs tariff.

Even with the concern for the tariffs on the horizon, I informed Ford Sales in the second quarter Earlier this month, on the occasion of the best quarterly sales numbers in six years. Sales increased by 14.2 %, significantly thanks to the increase in truck, hybrid and cars sales. However, the EV assortment is disappointed, lost 31.4 %.

Ford’s decimal sales of EV come shortly after CEO Jim Farley said last month EVS China It is “much superior” over anything that the West makes and threatens the presence of American auto manufacturers.

Earlier this month, The Wall Street Journal reported That Ford released Most or second is more summons From any auto company since 2020, its location is enhanced as carpet with most retrieval operations in one year.

Just two weeks ago, Ford was subjected to another summons to some Bronco Sport 2021-2024 and 2020-2022 due to a fuel injection problem, according to what he said. The National Traffic Safety Administration on highways. The company said that it was estimated that the reform would cost about $ 570 million and would be “reflected in the results of the second quarter of 2025″, ” Reuters I mentioned.

Brian Ocunile contributed to this article.

📬 Subscribe to the daily summary

https://qz.com/cdn-cgi/image/width=300,quality=85,format=auto/https://assets.qz.com/media/GettyImages-2213605331.jpg

2025-07-30 22:02:00

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button