Ford (F) reported first-quarter results after the bell on Wednesday that beat expectations, with its changing product game plan at the forefront and a focus on gasoline and hybrid offerings. Ford also raised some forecast metrics, but not its full-year profit outlook.
For the quarter, Ford reported revenue of $42.8 billion, beating estimates of $40.04 billion, up 3% from a year earlier. Ford posted adjusted earnings per share of $0.63, beating forecasts of $0.42. Adjusted EBIT (earnings before interest and taxes) was $2.8 billion, compared to estimates of $2.54 billion. Ford’s results were better than in the fourth quarter, when the company struggled with the ongoing impact of the United Auto Workers (UAW) strike.
Ford said full-year adjusted EBIT was “at the high end of $10 billion to $12 billion,” but raised its adjusted FCF target to $6.5 billion to $7.5 billion and tightened the Capital spending forecast at $8 billion to $9 billion. The company had previously forecast adjusted EBIT of $10 billion to $12 billion, adjusted free cash flow of $6 billion to $7 billion and capital expenditures of $8 billion to $9.5 billion.
Ford shares rose over 3% in after-hours trading. Ford’s results come after GM reported strong Q1 results and raised its full-year profit outlook.
“Customers want vehicles they are passionate about, a choice of powertrains, ever-improving quality and value,” Ford President and CEO Jim Farley said in a statement. “With Ford+, we are increasingly offering them everything others don’t, creating a company that will be a leader for the long term.”
Last year, Ford split its business into three units: Ford Blue, for traditional gasoline-powered cars; Ford Model e for the EV division; and Ford Pro for its commercial vehicle and super truck businesses. Here is the breakdown for Q1:
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Ford Blue: Sales of $21.8 billion, EBIT of $905 million
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Model e: $100 million in sales, EBIT loss of $1.32 billion
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Ford Pro: Sales of $18.0 billion, EBIT of $3.01 billion
In the first quarter, Ford pushed harder on its gasoline and hybrid vehicles, with electric vehicle spending and production taking a back seat. Earlier this month, Ford announced it was delaying electric vehicle production at its massive BlueOval City EV campus in Tennessee from its original 2025 start date to 2026. Ford also announced that it is “postponing” the launch of upcoming electric vehicles at its Oakville, Ont., factory, where the company plans to build next-generation three-row electric vehicles and, most likely, a full-size SUV. The company aims to introduce these vehicles in 2027, pushing back the original 2025 schedule.
Earlier in the quarter, Ford also said it would introduce a third shift to boost production of its Bronco SUV and Ranger midsize pickup to meet customer demand. Meanwhile, Ford is focusing on its hybrid offerings, such as the Maverick pickup and the all-new hybrid F-150.
This was reflected in Ford’s first-quarter U.S. deliveries, which rose 6.8% to 508,083 vehicles, driven by strong sales of electrified products such as hybrids. Ford’s Maverick hybrid pickup had its best quarter ever, with sales rising 77% in the first quarter. Maverick also increased total hybrid sales by 42% to 38,421, with Ford claiming this was also the best quarter for hybrids and that momentum will continue.
Even Ford’s electric car offerings — the Mustang Mach-E, the Ford Lightning EV and its E-Transit commercial vans — bucked the recent trend of slowing demand. Ford’s overall electric vehicle portfolio saw a massive 82% increase to 20,223 electric vehicles sold in the first quarter, with the Mustang Mach-E up 77.3% to 9,589 units sold and the Lightning pickup truck up 80.4% in sales to 7,743 units recorded. Although sales are strong here, Ford relied on deep discounts, low financing rates and leases to move inventory.
One downside for Ford, however, was sales of its flagship F-150. Although the F-Series (which includes the F-150 and heavy-duty F-250 and F-350 models) remains America’s best-selling truck, sales fell 10.2% to 152,943 units in the quarter. Ford has seen a slow ramp-up of the all-new F-150, which went on sale in March.
Pras Subramanian is a reporter for Yahoo Finance. You can keep following him Twitter and further Instagram.
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