Ford reports Q1 results - net loss but outlook positive

After Tesla and GM, the time has come for Ford to release its financial results and the reading is not as positive as the other two, even if Ford is trying hard to paint the disappointing numbers in positive colors.

The first number we need to focus in is the earnings for the period - the $2.3 billion are a steep decline from the same time last year, 41% to be exact. That’s a huge reduction but we all know about the supply chain issues all the automakers are having to deal with, and it seems some managed to deal with it better.

The way the companies report their figures is always trying to put a positive spin on bad news and trying to hide the negative numbers between good looking positive ones and it takes some digging to actually see the real picture. Ford actually made a net loss of $3.1 billion this year so far but it was quick to point out that it’s all Rivian’s fault - Ford owns 12 percent of Rivian and this investment is weighing down the accounts since the shares lost over 50% of their value since the beginning of the year.

The revenue is down $1.7 billion to $34.5 billion. The automaker is banking on huge demand and order book worth estimated $17 billion to pull it out of the red, it promises to deliver an extra 2 million vehicles by 2026 and is accelerating the transition to EVs.

Focus is also on recruitment and technology development, new batteries are planned to ease the dependence on nickel.

Ford isn’t done yet with ICE business, with larger trucks not planning to move away from fossil fuel but it will depend a lot on the success of the F-150 Lightning. Is it possible the oldest automaker in the US will have to rethink its strategy?

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