🔴 LIVE: The Secrets of ProPicks AI Success Revealed + November’s List FREEWatch Now

Ford whiffs on earnings and warns that the rest of the year will be 'weaker than normal' (F)

Published 07/28/2016, 07:09 AM
Updated 07/28/2016, 08:16 AM
© Ford
F
-

Ford Motor Company (NYSE:F) on Thursday reported second-quarter earnings that missed analysts' expectations, and said there are now risks to achieving its full-year outlook.

The automaker reported adjusted earnings per share of $0.52, missing analysts' estimates by eight cents according to Bloomberg.

Net income fell year-on-year to $1.97 billion from $2.16 billion.

Ford said it expects a weaker-than-normal second half of the year, especially in the third quarter, due to risks ranging from China's economy to the UK's exit from the European Union.

The "company now sees risks challenging achieving guidance," Ford said in its earnings release. The "entire Ford team working to mitigate the risks," it said.

Ford's earnings came in lighter than expected even after cheaper gas helped to lift sales of its trucks including the F-series. While North American revenues increased, South America was a drag due to weakness in Brazil's economy, and weaker local currencies on the continent.

In the Middle East and Africa, lower oil prices and political crises reduced wholesales.

Ford shares fell by as much as 6% in pre-market trading. They had dropped 1% this year through the market close on Wednesday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.