Ford boosts outlook and sees progress in Europe
AFPNEW YORK CITY--U.S. number-two automaker Ford raised its earnings forecast for the full year Thursday, citing strong worldwide sales gains and a better picture in the troubled European market.
October 26, 2013, 12:04 am TWN
Ford's net profit for the third quarter fell to US$1.27 billion (31 cents a share) from US$1.63 billion a year ago, but that was mainly due to ongoing restructuring costs on its European program and lump-sum pension payouts to reduce longer-term liabilities.
On an operating basis, earnings gained 16 percent to US$1.82 billion, or 45 cents a share, handily beating forecasts of 37 cents.
Volume and profit gains came in all regions, though operating margins fell in the all-important North America market.
Improvements in Europe, which was mired in recession for most of the past year, were such that the company lowered its loss expectations for the region and confirmed it expects to return to profitability by 2015.