Ford's Q1 2025 Earnings Surpass Expectations

Ford Motor Company reported its first-quarter 2025 earnings, revealing a 64% decline in net income to $471 million, down from $1.3 billion the previous year. Despite this drop, the company surpassed Wall Street's expectations, with adjusted pretax income reaching $1 billion. The decline is attributed to production halts and ongoing challenges in the electric vehicle (EV) sector, which reported losses of $800 million. Revenue fell by 5% to $40.7 billion, and wholesale deliveries decreased by 7%. In response to the uncertainties introduced by new tariffs imposed by President Trump, Ford has suspended its full-year financial guidance. The company anticipates these tariffs will add approximately $1.5 billion to its costs, primarily affecting imports from Mexico and China. CEO Jim Farley emphasized Ford's strategic advantage due to its significant U.S. manufacturing footprint, which may mitigate some tariff impacts. However, he acknowledged the complexities these tariffs introduce to the industry