Courtesy of: Ford Motor Co. DETROIT – Ford Motor posted first-quarter results on Wednesday in line with Wall Street expectations, although its net profit fell by a share in electric Rivian Automotive and reduced vehicle production. Ford’s adjusted results ruled out a $ 5.4 billion loss on the company’s 12% stake in Rivian. Its net loss, including its stake in Rivian, totaled $ 3.1 billion, the company said. Rivian lost about 52% of its market capitalization in the first quarter, reducing the value of Ford’s share from $ 10.6 billion to $ 5.1 billion. Despite rising costs and supply chain problems, Ford has reaffirmed its forecast for adjusted pre-tax profits of between $ 11.5 billion and $ 12.5 billion for the year. Several analysts expected Ford to cut its lead due to inflation, rising costs and supply chain disruptions. Shares of Ford rose nearly 4% during trading hours to about $ 15.40 per share. The stock closed at $ 14.85 per share, up about 1%. See how Ford did compared to what Wall Street expected:
Custom EPS: 38 cents vs. 37 cents, according to Consent estimates by Refinitiv Car revenue: $ 32.1 billion versus $ 31.13 billion, according to Refinitiv consensus estimates
Chief Financial Officer John Lawler described Ford’s first-quarter results as “mixed”, citing supply chain problems and lower adjusted pre-tax profit of $ 2.3 billion, up from $ 3.9 billion a year ago. Lawler said strong vehicle prices and expectations of increased production throughout the year allowed the company to maintain its leadership. He reaffirmed that the automotive industry expects that wholesale volumes, which are closely related to production, will increase by 10% to 15% compared to 2021. Ford’s results come a day after its rival, General Motors, easily exceeded Wall Street earnings expectations. GM also surprised analysts by maintaining adjusted guidance for pre-tax profits of $ 13 billion to $ 15 billion by 2022, despite the litigation of supply chain issues and rising costs. Ford’s stock has come under pressure this year, falling about 30% this year. It was the leading growth share among the automotive industry in 2021. In addition to earnings and guidance, investors will keep up to date with updates or progress on CEO Jim Farley’s Ford + recovery plan and any new information on the company’s electric vehicle plans. Ford celebrated the launch of the F-150 Lightning electric pickup earlier this week. This is breaking news. Check again for updates.
