Tuesday, February 7, 2012

Costs, Europe Ford make a profit by product

Ford Motor Co. recorded a lower than expected in the fourth quarter profit Friday due to the disappointing results outside of North America and soaring commodity prices costs.

Earnings Ford operating profit fell to $1.1 billion, or 20 cents per share, of almost $1.3 billion, or 30 cents per share, a year earlier.

Analysts, expects an adjusted earnings of 25 cents per share, on average according to Thomson Reuters I/B/E/S. Ford shares in the news fell.

Ford's profit hurt costs higher raw material prices, unfavorable exchange rates and poorer results in Europe, Asia and South America during the quarter. $2.3 Billion for the year to some of the $2.2 billion were Ford's product costs forecast.

"We saw worsen the external environment and really affected most regions except North America, and then we saw something bigger than we expected impact of raw materials, currency, and also the Thai floods," Chief Financial Officer Lewis booth told reporters.

Loss deepened Ford's losses in Europe during the quarter to $190 million compared to $ 51 million a year ago. To date, said that Europe would remain "difficult" for some time. In 2012, Ford expects that growth in the region will be dampened by the debt crisis and strong measures.

Ford in the face of increased competition in South America, where there is an operating pre-tax profit of $108 million down from $ 281 million a year earlier reported.

Production losses due to the floods in Thailand hurt its results in Asia compared to where quarterly loss of 83 million $ a profit of $23 million a year ago.

Ford reported a net profit in the fourth quarter of $ 13.6 billion or $3.40 per share, driven by a one-time tax gain of $12.4 billion. A year before Ford posted net income of $190 million, or 5 cents per share.

The higher net income was the result of a change in accounting policy, the Ford said reflects confidence in the long-term profit Outlook. The one-time gain led net profit of $20.2 billion the highest profit since 1998 to a year-round.

Copyright 2012 Thomson Reuters.

0 коммент.:

Post a Comment