Ford's shares remain down by 17% so far this year, despite a 15% increase in the stock price in October. Learn how you can make more money with IBD's investing tools, top-performing stock lists, and educational content. Ford more than doubled its adjusted pretax earnings from a year earlier to $3.6 billion in the third quarter. Ford ended the third quarter with cash of nearly $30 billion and total liquidity of more than $45 billion after fully repaying $15 billion in revolving credit drawn down in the first quarter in the early days of the pandemic. automotive supply base, and no further significant coronavirus-related disruptions to production or distribution.". Estimates: Analysts expect Ford to swing to a net loss of $1.27 a share from EPS of 32 cents a year ago, according to Zacks Investment Research. Here's how Ford performed versus what Wall Street expected, based on average analysts' estimates compiled by Refinitiv. Dow Jones, Nasdaq Hit Highs Amid Coronavirus News As Tesla, Nio, Boeing Rally; Salesforce-Slack Deal Near? We want to hear from you. A Division of NBCUniversal. # # # About Ford Motor Company Ford Motor Company is a global company based in Dearborn, Michigan. Its total revenue also increased by about $500 million to $37.5 billion from the third quarter of 2019. Stock: Shares rose 1.5% late after closing down 2.6% at 6.74 in Thursday's stock market trading. Mustang Mach-E and Bronco Sport shipments, which begin in Q4, aren't expected to have a material effect. As part of its partnership with Volkswagen, the German auto giant completed an investment in Argo, in which Ford owns a stake. Get this delivered to your inbox, and more info about our products and services. Get instant access to exclusive stock lists, expert market analysis and powerful tools with 5 weeks of IBD Digital for only $5! Revenue is the top line item on an income statement from which all costs and expenses are subtracted to arrive at net income. Now through Sunday, get IBD Digital for the lowest price of the year: only $8 for 8 weeks! An all-electric F-150 pickup truck and Transit commercial van are also in the works. Revenue can be defined as the amount of money a company receives from its customers in exchange for the sales of goods or services. That included stronger-than-expected demand and a rich mix for popular Ford trucks and SUVs as well as commercial vehicles. Ford expects a 100,000 reduction in wholesale shipments of its profitable F-150 pickups in the fourth quarter as the company steadily ramps up production of a redesigned version of the truck, Lawler said. revenue fell 54% in North America, 51% in Europe and 12% in China. The company previously announced that Q2 sales dived 33.3% in the U.S. but rebounded 3% in China after an extended slump in that country. Stocks To Watch: Top-Rated IPOs, Big Caps And Growth Stocks, Best Growth Stocks To Buy And Watch: See Updates To IBD Stock Lists, Find The Latest Stocks Hitting Buy Zones With MarketSmith. © 2020 CNBC LLC. Ford invested $1 billion in Argo in 2017, and VW invested $2.6 billion in the Pittsburgh-based autonomous vehicle startup in 2019. Automotive revenue is seen diving 58% to $14.98 billion in a quarter marked by pandemic-related plant closures. A troubled launch for Ford's all-new 2020 Explorer had a big impact on its full-year results. The company's net profit was $2.34 billion during the third quarter, up from roughly $423 million a year earlier. BREAKING: Stocks Close With Modest Gains On Shortened Day. Ford's profits in the third quarter were led by its operations in North America, which made $3.18 billion on revenue of $25.3 billion. Amid the pandemic, Ford and Volkswagen both pressed ahead on new mobility bets bankrolled by multibillion dollar investments. It will also be one of its first vehicles to get Tesla (TSLA)-like automated highway driving and over-the-air software updates. Find out the revenue, expenses and profit or loss over the last fiscal year. "My commitment to each of you is transparency, including purposeful, measurable key performance indicators so you can objectively track our progress," he told analysts. Image source: Ford Motor Company. Farley said additional information, including financial targets, will be discussed in the spring. Ford blew away Wall Street expectations as well as the company's forecast earnings for the third quarter. If so, we want to hear your opinions! General Motors Hits EV Accelerator, Races Toward Record Highs, Stock Market Today: Track Market Trends And The Best Stocks To Watch, Nasdaq Advances To Record Highs; Hot IPO Stocks Corsair Gaming, Palantir Technologies Offer Key Lesson In Selling, Nasdaq Jumps To New High As Coronavirus Stocks Soar, Etsy Breaks Out, Tesla Rallies. Do you use Tradestation, Vanguard or Ally for trading? Ford currently expects to report revenue of about $34 billion and first-quarter adjusted earnings before interest and taxes of about negative $0.6 billion, which excludes about $0.3 billion of special-item charges. IBD Live: A New Tool For Daily Stock Market Analysis. The top and bottom beats were on stronger-than-expected demand during the coronavirus pandemic. "We saw much higher demand than what we expected.". "We executed very well this quarter," Ford CFO John Lawler said Wednesday during a media briefing. Ford Motor blew away Wall Street expectations as well as the company's forecast earnings for the third quarter on stronger-than-expected demand during the coronavirus pandemic. Get market updates, educational videos, webinars, and stock analysis. (© Dave Cutler). Got a confidential news tip? Apple leads four key names to... 11/28/2020 Automotive revenue: $34.71 billion vs $33.51 billion expected Ford's stock jumped more than 7% during after-hours trading before leveling off at about $8.05 a … Ford's guidance for the second half of the assumes "no meaningful change in Sign up for free newsletters and get more CNBC delivered to your inbox. Ford Motor (F) beat Q2 forecasts late Thursday after rival General Motors (GM) posted a better-than-feared loss while Volkswagen (VWAGY) also saw losses and will slash its dividend. Incoming Ford CEO Jim Farley (left) and Ford Executive Chairman Bill Ford Jr. pose with a 2021 F-150 during an event Sept. 17, 2020 at the company's Michigan plant that produces the pickup. Revenue also fell at its Ford Credit vehicle financing arm. The company proposed lowering its dividend but also sees signs of a market recovery. It's Also the Wrong Way to Think About Security, Stocks Close With Modest Gains On Shortened Day, part of Ford's $11 billion investment in electric vehicles, Is GM Stock A Buy? GM, which beat Q2 views Wednesday while burning through $9 billion in cash, fell 2.7%. Current automotive liquidity should be sufficient to meet or exceed a targeted $20 billion cash balance even if global demand falls or there are more pandemic-related plant closures, Ford said. Chasing Right Stocks To Buy Is Critical With Fewer Choices But Big Winners, Boosted By 151% EPS Growth, AMD Stock Fabricates 'EPYC' New Buy Zone, If and When to Return to the Office is a Moving Target. Notice: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. Results: Loss of 35 cents a share on automotive revenue of $16.62 billion. Former Ford CFO Tim Stone, who left the company earlier this month, told investors in July that the automaker expected earnings on an adjusted pretax basis of between $500 million and $1.5 billion for the third quarter. Lawler declined to comment on when the company expects to reinstate its prized dividend, which it suspended in March due to the pandemic. Ford burned through $5.3 billion in cash vs. free cash flow of $174 million in the year-ago quarter. All Rights Reserved. As the pandemic adds to an existing auto sales slowdown, Ford borrowed more than $15 billion to manage through plant shutdowns. The automaker had $39 billion in cash at the end of Q2 and this week repaid roughly half the $15 billion recently borrowed against revolving credit lines, to combat coronavirus impact. Ford said it will announce the date of each subsequent earnings release in conjunction with results for current quarter. The stock market is looking robust, but also showing some signs of excessive bullishness. Ford reported net income of $1.1 billion, including a $3.5 billion gain on its investment in Argo AI. Volkswagen stock gapped down 4.2%. # # # About Ford Motor Company Ford Motor Company is a global company based in Dearborn, Michigan. Revenue also fell at its Ford Credit vehicle financing arm. Data is a real-time snapshot *Data is delayed at least 15 minutes. The company will report first-quarter 2020 financial results on April 28. the current economic conditions, continued steady improvement in stability of the global