Ford Posts $2 Billion Profit While EV Unit Still Burns $1.1 Billion
Ford’s Q3 earnings show a solid $2 billion net income despite a $1.1 billion loss in its electric‑vehicle division.
Ford Motor Company reported $2 billion in net income for the third quarter, despite a modest 2% dip in revenue to $49.5 billion year‑over‑year.
Adjusted earnings before interest and taxes (EBIT) rose 3% to $2.7 billion, giving management confidence to lift the floor of its full‑year adjusted EBIT guidance to $10.5 billion.
The profit comes amid an estimated $2.5 billion increase in commodity and logistics costs, which Ford attributes to geopolitical tensions and supply‑chain volatility.
Sales volume was also hit by the planned phase‑out of the Escape and Corsair crossovers as the Louisville Assembly Plant is being readied for a new electric‑vehicle platform.
Truck Business Remains the Bedrock
Ford emphasized that its “legendary truck business” continues to underpin financial stability, maintaining a mix of gasoline, hybrid and electric models without fragmenting the lineup.
Demand for the F‑Series stayed “incredibly strong” despite higher gas prices, and a brief supplier issue in late September that slowed F‑150 production was quickly contained.
The commercial‑focused Ford Pro division contributed $1.7 billion in EBIT for the quarter, effectively subsidizing the company’s ongoing EV investments.
Ford is also preparing an all‑new F‑150 for 2028, a move the automaker says will help sustain its global competitive position.
EV Division Still a Financial Drag
According to Automotive News, Ford’s electric‑vehicle unit posted a $1.1 billion loss for the quarter, though that marks a 25% improvement over the same period last year.
The pressure to turn the EV business profitable is heightened by BYD’s recent overtaking of Ford in global sales on the back of affordable electrification.
Ford is developing a “Universal EV platform” centered on the upcoming $28,350 Fathom pickup, aiming to cut costs through advanced manufacturing and achieve break‑even by 2029.
Given that Ford once recorded an $8.2 billion loss, its ability to absorb large EV investments while still delivering billions in net income underscores the resilience of the “Blue Oval.”
Overall, Ford’s Q3 results demonstrate a company that can weather rising costs and a transitioning product mix, but the EV segment remains a significant hurdle on the path to long‑term profitability.
