Loading...
•
Jun 30, 2024
Ford Q2 2024 Earnings Report
Ford's Q2 2024 performance highlighted progress on Ford+ plan, strength in Ford Pro, quality improvements, and hybrid growth.
Key Takeaways
Ford reported Q2 2024 revenue of $47.8 billion, net income of $1.8 billion, and adjusted EBIT of $2.8 billion. Ford Pro's EBIT reached $2.6 billion with a 15% margin. The company raised its adjusted free cash flow outlook for the year by $1 billion.
Ford Pro's EBIT was $2.6 billion with a 15% margin, driven by a 9% revenue increase.
Ford Blue hybrid sales increased by 34%, representing nearly 9% of the company’s global vehicle mix.
Ford Model e costs were reduced by approximately $400 million.
Ford raised its adjusted free cash flow outlook for 2024 by $1 billion, expecting between $7.5 billion and $8.5 billion.
Ford
Ford
Ford Revenue by Segment
Revenue by Segment
Ford Blue Revenue
CapyFin.comFord Model e Revenue
CapyFin.comFord Pro Revenue
CapyFin.comFord Credit Revenue
CapyFin.com Forward Guidance
Ford anticipates a solid full-year 2024 operating performance, with adjusted EBIT between $10 billion and $12 billion, and adjusted free cash flow between $7.5 billion and $8.5 billion.
Positive Outlook
- Ford Pro's full-year EBIT outlook is up to $9.0 billion to $10.0 billion due to further growth and favorable product mix.
- Ford is on course for a solid full-year 2024 operating performance.
- Capital expenditures for the year are anticipated to be between $8.0 billion and $9.0 billion.
- Earnings before taxes from Ford Credit are expected to be about $1.5 billion, a double-digit percentage increase from 2023.
- Ford's guidance range for adjusted EBIT remains $10 billion to $12 billion.
Challenges Ahead
- Ford Blue's full-year EBIT outlook is down to $6.0 billion to $6.5 billion, reflecting higher warranty costs than originally planned.
- Ford Model e is expected to have a full-year loss of $5.0 billion to $5.5 billion due to continued pricing pressure and investments in next-generation electric vehicles.
- Profitability was affected by an increase in warranty reserves.
- Ford Model e had an EBIT loss of $1.1 billion amid ongoing industrywide pricing pressure on first-generation electric vehicles and lower wholesales
- Still have lots of work ahead of us to raise quality and reduce costs and complexity
Revenue & Expenses
Visualization of income flow from segment revenue to net income