The USA automotive giant reported net income of $1.9 billion in the third quarter, up from $1.1 billion in the same period past year. In North America, sales jumped 16 percent. Ford announced on Tuesday that third quarter pretax profits shot up 89 percent to $2.7 billion. Meanwhile, the Ford Credit arm earned $526 million in the quarter, up from $495 million in the same period a year ago. “It would have to be something that very specifically had a discreet positive role to play in enabling us to deliver value in that space”.
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The Dearborn-based automaker’s overall sales gained by 7 percent to 1.6 million. Sales were up in Europe, but fell in South America, the Middle East and Asia.
“We had an outstanding quarter, so that makes two in a row”, Mr. Shanks said. And now, presenting today are Mark Fields, our President and CEO, and Bob Shanks, our Chief Financial Officer. “We just feel so good about so many aspects”.
Operating profit in Asia-Pacific was a modest $20 million in the quarter, less than half of the earnings there a year earlier.
Mr. Albertine believes that the auto segment is now operating in competitive product margin, and in order to maintain high pricing, auto manufacturers have to gain product life-cycle expertise.
Ford builds the F-150 and the popular Transit van at its Claycomo plant. “Sales should continue on a swift pace and add to the bottom line into 2016”.
Ford’s North America market share increased six-tenths of a percentage thanks to better availability of the F-150, a groundbreaking vehicle because of its use of aluminum.
Ford is inching closer to the break even point in Europe with third-quarter losses of $182 million, an improvement on $439 million a year ago and the best result since 2009.
Those numbers are huge, given the simple fact that the company’s F-series truck drive approximately 90% of its North American profits.
Shares of Ford were up 1.18% ahead of the market opening. Ford expects to post a loss there, but estimates it will improve from its loss a year ago.
Shanks also noted that Lincoln, a brand that was in trouble before Ford committed to significantly revamping it several years ago, is turning into a bright spot. Shanks said analysts had forecast a 32-per cent tax rate, but Ford’s rate was 33 per cent for the quarter.
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Ford, like many of its global rivals, is relying on profits in North America to be the stabilizing factor in operations when China demand has cooled off and other markets considered to be big in potential, including both Brazil and Russian Federation, are now in disarray.
