Ford Motor topped first-quarter earnings estimates on higher vehicle pricing and volumes (aside from the Mustang Mach-E move on Tuesday), but left its full-year outlook unchanged. year due to concerns about the real power of price leverage and growing global economic uncertainty. The second-largest automaker on Tuesday posted adjusted earnings per share of 63 cents, well above the 42 cents expected by analysts. Also exceeded the 38 cents for the same period a year ago and the 51 cents of the previous quarter.
For the year, Dearborn, Michigan-based Ford maintained its forecast for Adjusted EBIT in the $9 billion to $11 billion range. Rival General Motors last week raised its 2023 profit estimates by $500 million to a range of $11 billion to $13 billion. The unchanged outlook and concern over announced losses (3 billion, same as in the previous two years) on its electric vehicles kept investor sentiment in check.
Ford CFO John Lawler said Ford didn’t raise its estimates as it expects more pressure on prices: industry-wide sales volumes are normalizing and “the macroeconomic environment is opaque at best.” ».
Ford shares fell as much as 3.7% in after-market trading after reporting earnings.
For the first time, the Blue Oval reported results by business unit, rather than by region, after CEO Jim Farley radically restructured the 120-year-old company to focus on electric vehicles . But the new financial statements revealed that Ford lost $722 million before interest and taxes in the new electric vehicle unit it calls Model, and gained $2.62 billion on its traditional gasoline-powered models of its Ford Blue unit. It earned $1.37 billion in commercial vehicles and services across its Ford Pro business.