This is definitely a very good year for Ford. Locally Ford is now offering more than just pickup trucks and SUVs. Potential buyers now have another option in the D-Segment with the Mondeo and the Focus now has diesel power with its TDCi engine. Worldwide Ford has just recorded a US$2.1 billion profit in the first quarter of the 2010. This figure compares to a US$1.4 billion loss a year ago.
Analysts expected the Blue Oval to hit the US$1 billion mark in profits but the company surpassed that expectation with a profit figure that is about double. The bump in profits is mainly due to a 37% rise in US sales.
In Europe Ford recorded a pre-tax operating profit of US$107 million compared to a US$585 million loss a year ago. “Our plan is working, and the basic engine that drives our business results – products, market share, revenue, and cost structure – is performing stronger each quarter, even as the economy and vehicle demand remain relatively soft,” CEO Alan Mulally revealed.
The company aims to sell between 11.5 million and 12.5 million units this year in the US while sales in Europe is expected to hover over the 15 million-unit figure. The net income figure above excludes the losses of Volvo since the company is being sold to Geely.
Henry Ford’s grandson and the company’s executive chairman Bill Ford said that he has “seen this movie before” and indicated that the company cannot risk being complacent and arrogant with its financial achievements. “I know how quickly self-satisfaction can turn into self-destruction,” he added.