The automotive company Ford has experienced a 16.7% decrease in its net profits in the first nine months of the year compared to the previous year, reaching $4.055 billion. This decline was attributed to an increase in costs related to vehicle quality issues, reflecting a 14% decrease in profits during the first half.
During the third quarter, despite a 5.4% increase in the company's revenues to $46.196 billion, Ford's net profits decreased by 25.6%. This was due to additional expenses of $1 billion related to delays in its electric vehicle (EV) production program.
The company adjusted its economic expectations for the year, placing its net operating result at around $10 billion, with expected capital expenditures between $8 billion and $8.5 billion. Ford has had to face significant costs due to delays in electric vehicle production, including projects like the cancellation of an electric SUV that has cost $400 million.
Ford divides its operations into Ford Blue (combustion engines), Ford Model e (electric vehicles), and Ford Pro (services for professionals). While Ford Blue has recorded profits, Model e has faced substantial losses. Ford Pro, on the other hand, generated profits of $7.386 billion.
Ford's CEO and President, Jim Farley, highlighted the need for decisive actions to create competitive advantages in key areas such as Ford Pro, international operations, software, and electric vehicles. Despite the challenges, the company aims to improve its financial position as it overcomes obstacles and targets sustainable growth in the future.
