Ford posts $1.76B 1Q profit largely on gas-powered vehicles

CBS News Detroit Digital Brief for May 2, 2023

Ford Motor Co. made $1.76 billion last quarter, swinging into the black from a $3.1 billion net loss for the same period a year ago.

Excluding one-time items, Ford made 44 cents per share. That beat Wall Street estimates of 42 cents, according to FactSet.

Revenue rose 20% to $41.74 billion, soundly beating the $39.25 billion that analysts expected.

Ford reaffirmed its earlier pretax profit guidance for the full year of $9 billion to $11 billion.

Ford lost $722 million before taxes on its electric vehicles, but it made $2.62 billion on internal combustion vehicles. The company's commercial vehicle unit added $1.37 billion to the pretax profits.

The company's profits were fueled largely by sales in the U.S., its most lucrative market. Ford sold just under 472,000 vehicles from January through March, up 9.9% from the previous year.

The company continued to get strong prices for its vehicles during the quarter, driven by loaded out trucks and big SUVs. Ford's average sale price was $56,534, according to Edmunds.

The first-quarter loss last year was due mainly to a drop in valuation of Ford's investment in electric vehicle startup Rivian, which saw its stock slide.

Earlier Tuesday, Ford cut prices on its Mustang Mach E electric SUV, the same day Tesla raised prices slightly on the Model Y, the Mach E's main competitor.

Ford also said it is reopening the order bank on Wednesday for the Mach E after upgrading a factory in Mexico to increase output.

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