Ford has reported net income of 60 cents per share, or $1.21 billion, for the first quarter of 2005. This was off 32% compared with net income of 94 cents per share, or $1.95 billion, in the first quarter of 2004, but the company, unlike rival GM, remained in the black.


Worldwide automotive profits were off 229%, though improvements were reported for some regions.


Ford’s first-quarter earnings from continuing operations, excluding special items, were 62 cents per share, or $1.26 billion and total sales and revenue in the first quarter rose to $45.1 billion from $44.7 billion in the year-ago period.


“The plan that we launched in 2002 has led to profits and positive cash flow,” said Bill Ford, chairman and chief executive officer.


Automotive Sector

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

On a pre-tax basis, excluding special items of $106 million, worldwide automotive profits in the first quarter were $579 million, down by $1.25 billion from the same period a year ago.


Worldwide automotive sales for the first quarter rose to $39.3 billion from $38.8 billion in the same period last year. Worldwide vehicle-unit sales in the quarter were 1,716,000, down from 1,788,000 a year ago.


Operating-related cash flow was $800 million positive for the quarter.


The Americas


For the first quarter, the Americas reported a pre-tax profit of $740 million, excluding special items, down $1.24 billion from a $1.98 billion pre-tax profit in the same period a year ago.


North American automotive operations reported pre-tax profit of $663 million, excluding special items, down $1.3 billion from a year ago. Sales were $21.1 billion, down from $23.2 billion in the same period a year ago.


South American automotive operations reported a first-quarter pre-tax profit of $77 million, an increase of $62 million from first quarter 2004. Revenue for the first quarter increased to $866 million from $650 million in 2004.


Ford Europe and Premier Automotive Group (PAG)


The 2005 first-quarter combined pre-tax profit for Ford Europe and PAG automotive operations was $4 million, compared with a profit of $38 million for the year-ago period, excluding special items, a year-over-year deterioration of $34 million.


Ford Europe’s first-quarter pre-tax profit was $59 million, compared with a pre-tax profit of $5 million, excluding special items, during the 2004 period. The improvement of $54 million primarily reflected higher volume and ongoing cost reductions. Ford Europe’s sales in the first-quarter increased to $7.7 billion, compared with $6.5 billion during the first quarter of 2004.


Premier Automotive Group reported a pre-tax loss of $55 million for the first quarter, compared with a pre-tax profit of $33 million for the first-quarter of 2004. First-quarter sales for PAG were $7.6 billion, compared with $6.8 billion a year ago.


Ford Asia-Pacific and Africa/Mazda


The 2005 first-quarter combined pre-tax profit for Ford Asia-Pacific and Africa/Mazda was $97 million, compared with $82 million for the year-ago period, a year-over-year improvement of $15 million.


Ford Asia-Pacific and Africa: For the first quarter of 2005, Ford Asia-Pacific and Africa reported a pre-tax profit of $43 million, an improvement of $15 million from the same period a year ago. The improvement primarily reflected higher volumes and a gain on the sale of Ford’s interest in Mahindra and Mahindra in India. Sales rose to $2 billion, compared with $1.6 billion during the first-quarter of 2004.


Mazda: During the first quarter of 2005, Ford’s share of the pre-tax profit of Mazda and associated operations was $54 million, unchanged from the same period a year ago.


Ford Motor Credit Company


Ford Motor Credit reported net income of $710 million in the first quarter of 2005, up $22 million from earnings of $688 million a year earlier. On a pre-tax basis, Ford Motor Credit earned $1.1 billion in the first quarter, unchanged from the previous year.


Hertz


Hertz reported a first-quarter pre-tax profit of $33 million, a $40 million improvement from the $7 million pre-tax loss from the same period in 2004.


Outlook


“As we previously announced, we have reduced our full-year earnings guidance for 2005 to a range of $1.25 to $1.50 per share, excluding special items. This outlook is based on our expectation of a tougher operating environment for the remainder of the year,” said chief financial officer Don Leclair.


“Consistent with this, we expect our second-quarter earnings per share, excluding special items, to range from a loss of 15 cents per share to breakeven.”