Summary
Ford Motor Company's 2015 10-K filing reveals a company strengthening its core automotive business while strategically investing in future mobility solutions. The company reported a significant increase in net income attributable to Ford Motor Company, reaching $7.4 billion, a substantial improvement from $1.2 billion in 2014. This was driven by strong performance in its North America and Asia Pacific automotive segments, alongside consistent profitability from Ford Credit. The company is actively managing its costs, optimizing its product mix, and navigating a competitive global market characterized by excess capacity and pricing pressures. Ford is also laying the groundwork for future growth through its 'Ford Smart Mobility' initiative, focusing on connectivity, autonomous vehicles, and evolving customer experiences. This dual strategy of optimizing current operations while pioneering new ventures underscores Ford's commitment to long-term sustainability and leadership in the evolving automotive landscape. Investors should note the company's robust cash position and its ongoing efforts to manage significant pension liabilities.
Financial Highlights
49 data points| Revenue | $149.56B |
| Cost of Revenue | $124.45B |
| Gross Profit | $25.11B |
| R&D Expenses | $6.70B |
| SG&A Expenses | $10.76B |
| Operating Expenses | $142.58B |
| Interest Expense | $773.00M |
| Net Income | $7.37B |
| EPS (Basic) | $1.86 |
| EPS (Diluted) | $1.84 |
| Shares Outstanding (Basic) | 3.97B |
| Shares Outstanding (Diluted) | 4.00B |
Key Highlights
- 1Record Automotive pre-tax profit of $8.8 billion in 2015, a 60% increase from 2014, with a 6.8% operating margin, the highest since the 1990s.
- 2Net income attributable to Ford Motor Company significantly increased to $7.4 billion in 2015, up from $1.2 billion in 2014.
- 3Ford Credit delivered strong performance with a pre-tax profit of $2.1 billion, up 12% from 2014, supported by an 8% increase in contract volume.
- 4The company is investing $4.5 billion in electrified vehicle solutions through 2020 and is expanding its autonomous vehicle testing and development.
- 5Ford is strategically restructuring parts of its business that lack profitability or are not aligned with its future vision.
- 6Significant focus on managing structural costs and contribution costs to maintain profitability amidst industry challenges like excess capacity and pricing pressure.
- 7The company maintains a strong liquidity position with $23.6 billion in Automotive cash and marketable securities at year-end 2015, and a $13.4 billion revolving credit facility.