Ford 1Q earnings down on recalls, lower sales; revenue rises

Posted at 7:12 AM, Apr 27, 2017
and last updated 2017-04-27 07:12:36-04

DEARBORN, Mich. (AP) — Ford Motor Co.’s net income fell by 35 percent to $1.6 billion in the first quarter as results were hit by costly recalls, lower sales and rising prices for steel and other materials.

Without one-time items, including a gain from the closure of a planned plant in Mexico, Ford earned 39 cents per share. Wall Street expected earnings of 35 cents per share, according to analysts polled by FactSet.

The Dearborn-based automaker told investors and analysts last month that it expected weaker first-quarter results. Last year’s first quarter was an all-time record for the company.

Ford says it remains on track to earn a full-year pretax profit of $9 billion. That’s down from $10.4 billion in 2016.

Ford’s revenue climbed 4 percent to $39 billion in the first quarter.