Ford Q3 profit falls 24% to $1.8B

DETROIT — Ford Motor Co. on Wednesday said third-quarter net income fell 24 percent to $1.8 billion because of the lingering microchip shortage, but strong demand drove the automaker to again raise its full-year guidance and reinstate a quarterly cash dividend.

Ford reported adjusted earnings of $3 billion before interest and taxes, down from $3.6 billion in the same period a year ago.

Revenue fell 4.8 percent to $35.7 billion.

Still, the automaker raised its full-year guidance to adjusted EBIT of $10.5 billion to $11.5 billion, up from a previous range of $9 billion to $10 billion. The new forecast is nearly double the $5.5 billion to $6.5 billion that Ford had projected in the early days of the chip crisis.

The automaker started the quarter with between 60,000 and 70,000 unfinished vehicles awaiting chips and related components. On Wednesday, Ford said an improvement in semiconductor supplies increased regional product shipments 67 percent over the second-quarter.

In North America, Ford posted a pretax profit of $2.4 billion, down 24 percent from a year earlier.

Ford suspended its dividend in March 2020, at the start of the coronavirus pandemic. It said a 10-cent dividend would go out to shareholders on Dec. 1.

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