FORD STOCK FALLS DESPITE Q3 SALES BEAT, GUIDES to LOWER 2024 PROFIT FORECAST

  • Weekly Giveaway for our active users. N50,000 per Week. Do you want to contribute to this community? We are looking for contribution? What is hot right now? Sign up and get in on the ground floor of the newest, fastest growing Nigerian forum!

Amara

Member
Jul 18, 2024
439
0
16
Ford (F) reported Q3 revenue of $46.2 billion, exceeding Bloomberg’s estimate of $41.9 billion, but down from last quarter's $47.8 billion. Adjusted EPS matched expectations at $0.49, and adjusted EBIT reached $2.6 billion. However, net income was impacted by a previously disclosed $1 billion EV-related charge, bringing net income down to $900 million.

Updated Full-Year Guidance
Ford revised its 2024 full-year profit forecast to the lower end of its previous $10-12 billion range due to "supplier disruptions" affecting Ford Pro and Ford Blue sales, according to CFO John Lawler.

Segment Performance for Q3

Ford Blue: $26.2 billion in revenue, $1.627 billion in EBIT
Ford Model e (EVs): $1.2 billion in revenue, -$1.224 billion in EBIT
Ford Pro (Commercial/Super Duty): $15.7 billion in revenue, $1.814 billion in EBIT
EV and Hybrid Sales Growth
Ford's Q3 U.S. deliveries rose by 4.3% year over year, totaling 504,039 vehicles, with EV sales up 12% and hybrid sales, led by the Maverick pickup, increasing by 38%.

Comparison with GM
GM, Ford's competitor, has raised its guidance each quarter, now forecasting adjusted EBIT of $14-15 billion, reflecting strong performance.

Stock Movement
Following the earnings announcement, Ford's stock dropped over 5% in after-hours trading, reflecting investor concerns over the revised profit forecast.