- Ford’s ongoing restructuring weighed on its quarterly EPS, which missed analysts’ expectations.
- Ford also booked a a single-time charge connected to investment holdings.
- Ford enhanced its yr-above-yr margins in Europe and narrowed losses for its troubled China operations.
- The company’s CFO stated that that Ford was “well above targets for cash and liquidity.”
- Take a look at Company Insider’s homepage for much more stories.
Ford on Wednesday reported a decrease quarterly net revenue, largely due to fees connected to the restructuring of the automaker’s units in Europe and South America.
The No. two U.S. automaker posted a 2nd-quarter net revenue of $148 million, or four cents per share, down from $one.one billion, or 27 cents per share, a yr earlier.
Excluding a single-time fees, the enterprise earned 28 cents per share. Analysts had anticipated Ford to earn 31 cents a share, in accordance to IBES information from Refinitiv.
“Results were affected by a $181 million mark-to-market valuation adjustment loss on Ford’s shares in Pivotal Software, a cloud-based software company,” the automaker stated in a statement.
“Excluding the Pivotal Software revaluation, adjusted EBIT would have been $1.8 billion and adjusted EPS would have been $0.32.”
“Midway through this key year of action, we are pleased with the progress we are making toward creating a more dynamic and profitable business,”Ford CEO Jim Hackett stated. “In this time of profound change in our industry, Ford has amazing opportunities to delight customers, innovate and collaborate in new ways, and create value.”
In an interview with Company Insider following earnings have been launched, Ford CFO Tim Stone stated that that Ford was “well above targets for cash and liquidity.”
Ford reported $23.two billion funds on hand and $37.three billion in complete liquidity.
In trading following hrs, Ford shares declined six.five%, to $9.66. The stock had closed at $10.33.
(Reuters reporting By Nick Carey Editing by Nick Zieminski)
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