Summary
Ford Motor Company reported a strong second quarter and first half of 2010, demonstrating a significant turnaround from the previous year. The company achieved substantial profitability driven by robust sales and improved operational performance across both its Automotive and Financial Services segments. Total sales and revenues increased by 30.6% in the second quarter and 30.1% in the first half, year-over-year, reflecting higher vehicle volumes and favorable pricing. Net income attributable to Ford Motor Company surged, with the company reporting a net income of $2.6 billion for the second quarter and $4.7 billion for the first half. Key to this performance was the strong recovery in the Automotive sector, which saw a significant increase in operating income, largely due to higher sales volumes, improved net pricing, and favorable currency exchange impacts. The Financial Services sector also contributed positively, with improved pre-tax earnings driven by lower provisions for credit losses and higher financing margins. The company continued to focus on debt reduction and balance sheet improvement, further strengthening its financial position.
Financial Highlights
34 data points| Revenue | $35.07B |
| Cost of Revenue | $27.83B |
| Gross Profit | $7.24B |
| SG&A Expenses | $3.14B |
| Operating Expenses | $32.47B |
| Operating Income | $2.60B |
| Interest Expense | $1.64B |
| Net Income | $2.60B |
| EPS (Basic) | $0.76 |
| EPS (Diluted) | $0.61 |
| Shares Outstanding (Basic) | 3.41B |
| Shares Outstanding (Diluted) | 4.61B |
Key Highlights
- 1Net income attributable to Ford Motor Company was $2.6 billion for the second quarter of 2010, a significant increase from $2.3 billion in the prior year.
- 2First half 2010 net income attributable to Ford Motor Company was $4.7 billion, a substantial improvement from $834 million in the first half of 2009.
- 3Total sales and revenues increased to $35.1 billion in Q2 2010 and $66.6 billion in H1 2010, up from $26.8 billion and $51.2 billion respectively in the prior year periods.
- 4The Automotive sector reported income before taxes of $1.97 billion in Q2 2010, a significant turnaround from a loss of $1.65 billion in Q2 2009.
- 5The Financial Services sector reported income before taxes of $875 million in Q2 2010, up from $595 million in Q2 2009, driven by lower credit loss provisions and improved financing margins.
- 6Ford completed the sale of Volvo and related assets to Zhejiang Geely Holding Group for $1.8 billion in August 2010.
- 7The company's balance sheet showed improvement, with total equity (deficit) attributable to Ford Motor Company increasing to -$3.57 billion from -$7.82 billion at the end of 2009.