Ford's 2017 profit misses Wall Street estimates

Updated: Wed, Jan 17, 2018
04:20 am
Reuters
RELATED NEWS
GST Council to consider implementation of lower GST rates for realty sector GST Council to consider implementation of lower GST rates for realty sector
Explainer: Why Germany wants a merger to underpin Deutsche Bank Explainer: Why Germany wants a merger to underpin Deutsche Bank
Jet Airways grounds its operations in Abu Dhabi Airport Jet Airways grounds its operations in Abu Dhabi Airport
Saudi energy minister says OPEC needs 'to stay the course' on supply cut pact Saudi energy minister says OPEC needs 'to stay the course' on supply cut pact
Stimulus budget in cards as Canada's Liberals look to eclipse crisis Stimulus budget in cards as Canada's Liberals look to eclipse crisis

Ford Motor Co shares fell in after-hours trading on Tuesday after the Dearborn, Michigan, automaker reported 2017 preliminary adjusted earnings that missed market estimates, and issued a 2018 earnings forecast that fell short of analysts` expectations.

The automaker`s shares dropped more than 2 percent in extended trading. Ford`s downbeat forecast contrasted with a more positive outlook from Detroit rival General Motors Co earlier on Tuesday. GM shares closed up slightly, after a roughly 2-percent gain earlier in the day.

Ford also said it would start reporting separately the results of its investments in "mobility" businesses, such as self-driving delivery vehicles and ride services, and previewed a loss for those operations of $300 million for 2017.

Ford blamed exchange rates and rising prices for the commodities used in its vehicles for the projected decline in 2018 adjusted earnings, in a statement and materials released ahead of a presentation to analysts by Chief Financial Officer Bob Shanks and Jim Farley, president of global markets.

For full-year 2017, Ford said its adjusted earnings would be $1.78 per share, below analysts estimate of $1.83, according to Thomson Reuters I/B/E/S.

For 2018, Ford expects adjusted earnings of $1.45 to $1.70 per share. Analysts on average expected earnings of $1.62.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)