Electric vehicle maker's business loss causes Ford shares to drop
Electric vehicle maker's business loss causes Ford shares to drop
PSNN Admin 
Late on Tuesday, Ford Motor Co. announced a return to quarterly profitability, with sales increasing. However, the electric vehicle business reported another loss on Wall Street due to production problems experienced by two of its flagship electric vehicles - the Mustang Mach E SUV and the F-150 Lightning pickup truck.
For the first quarter, Ford reported earnings of $1.8 billion, equivalent to 44 cents per share, compared to a loss of $3.1 billion, or 78 cents per share, in the same period last year. Adjusted for one-time items, the earnings were 63 cents per share. Meanwhile, revenue rose 20% to $41.5 billion.
Ford reaffirmed its 2023 guidance for adjusted EBIT of $9 billion to $11 billion and adjusted free cash flow of around $6 billion. However, the automaker’s shares fell in after-hours trading following the earnings report, having already finished the regular trading day down 2.2%.
Ford reported earnings by its three segments: Ford Blue, which includes gas and hybrid vehicles; Ford Model e, for electric vehicles; and Ford Pro, covering commercial products and services. Ford Model e posted an EBIT loss of $722 million in the quarter.
Production interruptions of the Mustang Mach-E SUV and the F-150 Lightning pickup truck, which were required to make industrial changes and isolate and address a battery problem respectively, limited the quarterly electric vehicle shipments and revenue. However, Ford announced earlier on Tuesday that it was reopening order books for the Mustang Mach E and that it plans to increase production of the all-electric SUV in the second half of the year, having lowered its prices.
