Transportation
Ford Falls After Warning of Steep Profit Decline This Year
- Carmaker sees pretax earnings down by $2 billion or more
- Trade tensions and EV losses continue to concern investors
This article is for subscribers only.
Ford Motor Co. shares tumbled after warning that profit this year may fall by $2 billion or more due to to lower vehicle prices and costly new-model launches, adding to risks posed by potential new tariffs under President Donald Trump.
The second-largest US automaker expects earnings before interest and taxes will fall to a range of $7 billion and $8.5 billion this year, down from the $10.2 billion it generated in 2024. Sherry House, Ford’s incoming chief financial officer, attributed the drop to an anticipated 2% decline in industrywide prices and the expense of launching new Lincoln Navigator and Ford Expedition SUVs that will wipe out profit in the first quarter.