Ford, GM Results Remain Strong Despite Challenges

REPLAY VIDEO
Your next video will start in
Pause

Recommended Videos

  • Info

  • Comments

  • VIDEO TEXT

July 24 (Bloomberg) -- Bloomberg’s Keith Naughton reviews results from Ford and General Motors as Ford topped lowered expectations due to changes to the F-150 truck and General Motors deals with mounting recall issues and looks at what their results say about the economies in the United States, Europe and China. He speaks on “Market Makers.”

Keith, the most important thing that stands out from these reports, what did they tell us about the state of the auto industry?

That it is still pretty healthy.

Gm doing as well as it did, missing by a penny, shows you that they have not crippled by the recall crisis.

Ford on the other hand is supposed to be in a down year.

F1 50 pickup truck, that is supposed to cost them profits, but that is presently strong quarter and beat analyst estimates.

Teeth, why is for setting expectations so low for this f1 50? is it that big a deal?

Yeah, it's incredibly, credit, e -- it is incredibly complicated, erik, as you might imagine.

This is the most profitable model, making about 8000 per model.

It costs a lot of profits in the time it takes to change over.

No vehicle of this volume has ever been made in aluminum before.

This is blazing new trails.

We know the recovery of the u.s. economy has powered the performance of both of these companies.

What do ford and general motors tell us about 2 other markets, europe and china?

It is interesting.

With europe we are starting to see some glimmers of hope.

That is the first they've made there since 2011. both of them are restructuring closing plants, very unheard of in europe.

We seem to be on the cusp of a turnaround in europe.

There is a market leader in china that continues to be a strong profit base for him.

They've had a great first half of the year.

That boosted their profits to a record in the second quarter.

Is that to say that ford is taking market share from gm or china or somebody else?

China is the largest automotive market in the world and is growing at a rapid pace.

Everybody is growing in china.

It is not like the united states where we are just taking it out of each other's hide.

Ford is trying to get more in the game.

They were a latecomer to the party.

How are you rating mark fields on this first call?

He handled it well, delivered his script well in the q&a session.

What?

You think he was on scrip?

I think he handled it

This text has been automatically generated. It may not be 100% accurate.

Advertisement

BTV Channel Finder

Channel_finder_loader

ZIP is required for U.S. locations

Bloomberg Television in   change