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Dec 31, 2023

Ford Q4 2023 Earnings Report

Ford's Q4 2023 results reflected a revenue increase and a net loss due to special items, with the Ford+ strategy demonstrating adaptability.

Key Takeaways

Ford's Q4 2023 saw revenue increase by 4% to $46 billion. However, a net loss of $526 million was recorded, attributed to a $1.7 billion pretax, non-cash accounting loss. Adjusted EBIT totaled $1.1 billion. The company declared first-quarter regular and supplemental dividends.

Q4 revenue increased by 4% to $46 billion, driven by favorable net pricing.

Net loss of $526 million was primarily due to a $1.7 billion pretax, non-cash accounting loss.

Adjusted EBIT for Q4 totaled $1.1 billion.

The company declared first-quarter dividends of 15 and 18 cents per share.

Total Revenue
$46B
Previous year: $44B
+4.5%
EPS
$0.29
Previous year: $0.51
-43.1%
Gross Profit
$2.53B
Previous year: $6.18B
-59.1%
Cash and Equivalents
$24.9B
Previous year: $25.1B
-1.1%
Free Cash Flow
$197M
Total Assets
$273B
Previous year: $256B
+6.8%

Ford

Ford

Forward Guidance

Ford anticipates full-year 2024 adjusted EBIT of $10 billion to $12 billion and adjusted free cash flow of $6 billion to $7 billion, with capital expenditures of $8 billion to $9.5 billion.

Positive Outlook

  • Anticipates full-year adjusted EBIT of $10 billion to $12 billion.
  • Expects to generate $6 billion to $7 billion in adjusted free cash flow.
  • Beneficial pricing and mix from 12 months of sales of the all-new Super Duty.
  • Identified $2 billion in cost reductions.
  • Presumes flat to modestly higher full-year U.S. industry volume.

Challenges Ahead

  • Guidance presumes overall lower vehicle pricing.
  • Total costs are expected to be flat year-over-year.
  • Higher expenses for labor
  • Major product- refresh actions.
  • EBIT loss of $5.0 billion to $5.5 billion for Ford Model e.