{"id":138426,"date":"2019-07-24T18:09:22","date_gmt":"2019-07-24T22:09:22","guid":{"rendered":"http:\/\/www.thedetroitbureau.com\/?p=138426"},"modified":"2019-07-24T18:09:22","modified_gmt":"2019-07-24T22:09:22","slug":"ford-q2-profits-drop-86-due-to-1-2b-in-special-charges","status":"publish","type":"post","link":"https:\/\/thedetroitbureau.com\/2019\/07\/ford-q2-profits-drop-86-due-to-1-2b-in-special-charges\/","title":{"rendered":"Ford Q2 Profits Drop 86% Due to $1.2B in Special Charges"},"content":{"rendered":"
\"\"<\/a>
Ford CEO Jim Hackett says he’s pleased with the progress the company has made this year.<\/figcaption><\/figure>\n

Ford Motor Co. saw its net income drop 86% to $148 million on revenue of $38.9 billion, which matched the year-ago revenue figure. The massive drop came as a result of $1.2 billion charges the company took during the quarter.<\/p>\n

If the special charges, which were taken for the restructuring of South America and Europe, are backed out the company s second quarter income rises to $1.8 billion, which would have matched last year\u2019s results for the same period.<\/p>\n

Cash flow from operating activities for the first half of 2019 was $10 billion, up $1.5 billion. Adjusted free cash flow for the same period was $2.1 billion, up 80%. The company\u2019s cash and liquidity balances remain strong and above targets, finishing the quarter at $23.2 billion and $37.3 billion, respectively.<\/p>\n

(Ford Facing $1.2B Lawsuit Over F-150 Mileage Testing Problems)<\/a><\/strong><\/em><\/p>\n

\u201cMidway through this key year of action, we are pleased with the progress we are making toward creating a more dynamic and profitable business,\u201d said Jim Hackett, Ford president and chief executive officer, in a statement.<\/p>\n

\u201cIn this time of profound change in our industry, Ford has amazing opportunities to delight customers, innovate and collaborate in new ways, and create value.\u201d<\/p>\n

The company saw growth in earnings before interest and taxes, or EBIT, for the second consecutive quarter for the first time in three years. The company\u2019s overall \u201cfitness,\u201d i.e. structural costs have improved in all areas, except pension and other post-employment benefits.<\/p>\n

(Ford Knowingly Made Millions of Fiestas, Focuses with Faulty Transmissions)<\/a><\/strong><\/em><\/p>\n

Automotive earnings before interest and taxes (EBIT) in the quarter was $1.4 billion, up
\n19%, driven by improvement in mix and net pricing, especially North America\u2019s franchise strengths in trucks and sport-utility vehicles.<\/p>\n

The company further strengthened its worldwide product portfolio, with launches of the all-new Ford Explorer and Police Interceptor Utility and new-to-market Lincoln Aviator, and unveiled the Ford Puma, an all-new compact crossover for the European market.<\/p>\n

Ford Credit delivered another strong quarter, with earnings before taxes of $831 million, up
\n29 percent. The company reported favorable loss metrics which reflect healthy consumer credit conditions, and auction values for off-lease vehicles performed better than expectations.<\/p>\n

(Ford’s Alliance with VW a Potential Problem in Talks with UAW)<\/strong><\/em><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Ford Motor Co. saw its second-quarter net income drop 86% to $148 million on revenue of $38.9 billion. The hit came from $1.2 billion in special charges the company took to restructure its South American and European operations. Get the rest of the detail at TheDetroitBureau.com.<\/p>\n","protected":false},"author":4389,"featured_media":133116,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","footnotes":""},"categories":[7,8,5],"tags":[],"make":[56],"post-state":[],"category_old":[118,286,150,151,123,287,173,289,299,171,248,132,284,125,139,290,288],"acf":[],"_links":{"self":[{"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/posts\/138426"}],"collection":[{"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/users\/4389"}],"replies":[{"embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/comments?post=138426"}],"version-history":[{"count":0,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/posts\/138426\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/media\/133116"}],"wp:attachment":[{"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/media?parent=138426"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/categories?post=138426"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/tags?post=138426"},{"taxonomy":"make","embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/make?post=138426"},{"taxonomy":"post-state","embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/post-state?post=138426"},{"taxonomy":"category_old","embeddable":true,"href":"https:\/\/thedetroitbureau.com\/wp-json\/wp\/v2\/category_old?post=138426"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}