The Ford show is seen on the New York Worldwide Auto Present on April 16, 2025.
Danielle DeVries | CNBC
Ford Motor is about to report its second-quarter earnings after the markets shut Wednesday as buyers look ahead to any adjustments to its full-year steerage, which the automaker suspended in Could resulting from President Donald Trump‘s auto tariffs.
Ford at the moment predicted a $2.5 billion impression from tariffs this yr however stated it could be capable to offset $1 billion of that complete via mitigation efforts.
Trump’s 25% tariffs on imported automobiles and many vehicle components stay in impact. Whereas the Trump administration has introduced some country-specific offers and made adjustments to its auto-related levies — together with reimbursing automakers for some U.S. components and lowering the “stacking” of tariffs on each other for the business — automakers are nonetheless grappling with the tariff-induced impact on their backside traces.
Ford CEO Jim Farley stated this spring that these adjustments had been useful, however extra actions had been wanted.
Ford’s estimated tariff impression is notably lower than what its crosstown rival Normal Motors predicts, as Ford has a bigger U.S. footprint and imports fewer automobiles than GM. Final week, GM reiterated that it expects $4 billion to $5 billion in tariff impacts in 2025. Within the second quarter alone, GM stated it noticed a $1.1 billion hit.
This is what Wall Road expects, primarily based on common analysts’ estimates compiled by LSEG.
- Earnings per share: 33 cents adjusted
- Automotive income: $43.21 billion anticipated
These outcomes would mark a 3.7% lower in income in contrast with the identical interval a yr earlier and a 29.8% drop in adjusted earnings per share. Ford’s second quarter of 2024 included $44.81 billion in automotive income, internet earnings of $1.83 billion and adjusted earnings earlier than curiosity and taxes of $2.76 billion.
With out tariffs, Ford stated again in Could that it was monitoring towards its preliminary steerage that included adjusted earnings earlier than curiosity and taxes of $7 billion to $8.5 billion, adjusted free money stream of $3.5 billion to $4.5 billion and capital expenditures between $8 billion and $9 billion.
Ford noticed robust gross sales for the second quarter of 2025, totaling 612,095 automobiles, or a 14.2% enhance from a yr in the past. Its electrified automobile gross sales totaled 82,886 through the quarter, up 6.6% from 2024. Its pure EVs noticed a 31.4% drop, whereas hybrids had been up 23.5%.
Traders shall be looking forward to any updates on Ford’s EV plans, particularly its “Mannequin e” electrical automobile enterprise, as Trump’s new tax-and-spending invoice is about to finish tax credit for brand spanking new and used EVs after Sept. 30.
High quality points have additionally been within the highlight for Ford lately, because the automaker introduced a recall of greater than 694,000 crossover SUVs, on high of one other recall of 850,000 automobiles resulting from security issues this month.
Ford inventory is up about 12% yr thus far.
That is growing information. Please verify again for updates.
