© Reuters. Ford: Results below expectations, the price of the metal has weighed
DETROIT (Reuters) – Ford (NYSE:F) Motor was released on Wednesday a quarterly profit lower than expected, due to the increase in the cost of raw materials and an unfavourable evolution of the exchange rate, and is expected to suffer even in the price of metals in 2018.
Ford was the only major automobile manufacturers has warned that the price of metals such as aluminum and steel would affect its results, and the last week, the title was dropped after executives have announced that it could cost $ 1.6 billion (1.29 billion euros) in 2018.
Chief financial officer Bob Shanks was brought up before the press the need for the second american car maker to improve its profitability compared to its competitors.
“We need to be much better adapted than we are, regardless of the future,” he said.
The results for the fourth quarter of the group were primarily derived from North America, which accounted for 1.6 billion of the $ 1.7 billion of income before taxes, Ford has sold vehicles to more expensive and higher margins in this market than elsewhere in the world.
The chief financial officer has indicated that approximately two-thirds of the 400 million dollars that have cost foreign exchange fluctuations were related to a Brexit.
The group’s net profit came in at 2,41 billion in the fourth quarter, or 60 cents per share, compared to a loss of 781 million, or 20 cents per share, a year ago. Excluding exceptional items, EPS came in at 39 cents, below the consensus which was at 42 cents.
(Nick Carey, with Paul Lienert, Juliette Rouillon for the French service)