US automobile giant Ford Motor Co., Ltd. announced its first quarter financial results on the 24th, with profits exceeding market expectations. Photographed in September 2019 (2024 Reuters/Wolfgang Rattay)
Adjusted earnings per share were $0.49. Although this was down from $0.63 in the same period last year, it was higher than the $0.40 expected by analysts compiled by LSEG.
Full-year earnings before interest and taxes (EBIT) are expected to reach the upper end of the company’s forecast of $10 billion to $12 billion. Shares rose more than 3% in after-market trading.
The Software and Electric Vehicle (EV) segment posted an operating loss of $1.3 billion. The company expects its full-year pretax loss to be between $5 billion and $5.5 billion.
CEO Jim Farley said EVs are a “big drag, not just for Ford, but for the industry as a whole.”
For this reason, the company is making hybrid vehicles its top priority in the short term as it transitions to battery-powered vehicles. The company aims to increase hybrid vehicle sales by 40% this year and quadruple them in the next few years.
Farley explained that the company has revised some of its ambitious EV plans to meet customer demand.
The company announced earlier this month that it would postpone its planned EV launch in Canada and also delay shipments of its next-generation EV pickup truck, which will be built in Tennessee, U.S., until 2026.See more
Company executives have indicated that they will not launch next-generation EVs until they are profitable.
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