Ford Motor reported on Monday its first quarter earnings results, posting an adjusted earnings per share of 14 cents (down from 49 a year ago) and 40.66 billion in revenue.
The company’s adjusted net income plunged 72% year over year to $552 million, while adjusted earnings before interest and taxes were $1.0 billion. Ford burned through $2.22 billion in cash during the first quarter — its largest quarterly outflow since the second quarter of 2021.
Analysts on Wall Street had projected the Detroit automaker would post adjusted earnings of 2 cents per share, with automotive revenue reaching $36.21 billion.
Ford’s EV unit ‘Model e’ reported a first-quarter EBIT loss of $849 million, with the company saying its arm “remains focused on improving gross margins and exercising a disciplined approach to investments in battery facilities and next-generation products.”
The automaker said it is “suspending guidance” citing uncertainty and “the potential for future or increased tariffs in the U.S.” Ford expects to take a $1.5 billion hit caused by Trump’s tariffs.
“Based on what the company knows now, and its expectation of how certain details and changes will be resolved related to tariffs, the company estimates a net adverse adjusted EBIT impact of about $1.5 billion for full-year 2025,” the company said in a statement.
Commenting on the impact of the tariffs, the automaker warned of “industrywide supply chain disruption.” “Given material near-term risks, especially the potential for industrywide supply chain disruption impacting production, the potential for future or increased tariffs in the U.S., changes in the implementation of tariffs including tariff offsets, retaliatory tariffs and other restrictions by other governments and the potential related market impacts, and finally policy uncertainties associated with tax and emissions policy, the company is suspending guidance,” Ford stated.
“These are substantial industry risks, which could have significant impacts on financial results, and that make updating full year guidance challenging right now given the potential range of outcomes. The company will provide an update during the Q2 earnings call,” the company added.
Immediately after the results, Ford shares are trading 2% lower on Monday’s after-market session. The stock fell 0.80% on Monday, closing at $10.20.
“We are strengthening our underlying business with significantly better quality and our third straight quarter of year-over-year cost improvement, excluding the impact of tariffs,” Ford’s CEO Jim Farley said in a statement. “Ford Pro, our largest competitive advantage, is off to a strong start to the year, gaining market share in the most profitable U.S. and European customer segments.”
Commenting on the 25% tariffs imposed by the Trump Administration, Ford’s CEO Jim Farley told CNN last week that the company has “worked with his [Trump’s] team like every day for the last couple months and at a very high level of engagement.”
The brand’s domestic production stands at 77%, importing only 23%, while GM sources 49% of its U.S.-sold vehicles from Mexico, Canada and other regions.
Farley said the company has been speaking with the other Detroit automakers to find a common solution. “We’ve also been working with Mary [Barra, GM’s CEO] and Stellantis too as a group, because we recognize how important this moment is to get this all right and kind of figure it out together.”
Ford reported last week a 16% jump in U.S. auto sales for April, while sales of its electric vehicles dropped 40%. A company spokesperson told Reuters the poor EV sales were “due to the model year changeover for the two vehicles and low supply on dealer lots.”
Vanguard Group, one of the world’s largest asset managers, increased its position in the Detroit automaker Ford Motor Co. in the first quarter of the year, a new regulatory filing showed last week
