Filed under: Europe, Ford, Earnings/Financials
http://www.blogcdn.com/www.autoblog.com/media/2012/01/alan-mulally-of-ford-with-reporters.jpg
Ford has announced the company’s single largest profit since 1998, thanks in part to a one-time tax gain. The company drew in a net income of $13.6 billion last quarter and the news marked the automaker’s 11th consecutive profitable quarter. For perspective, Ford made $190 million in 2010. The company’s net income was bolstered by the fact that Ford eliminated a valuation allowance against deferred tax benefits. The company created the valuation allowance in 2006 when it began reporting operating losses. Analysts reportedly see the elimination as a sign that the manufacturer expects to be profitable in coming years.
The company made $8.8 billion in profit in 2011, or $1.51 a share. That’s an increase of $463 million over 2010. Even so, the company’s net income missed analysts’ estimates thanks in part to higher commodity costs, currency fluctuations and flooding in Thailand. The automaker spent $100 million more in commodities like steel than it projected. Those facts, combined with a deteriorating European market, helped Ford miss analyst estimates by 5 cents per share.Ford reports biggest profits since '98, still fails to meet estimates originally appeared on Autoblog on Fri, 27 Jan 2012 11:02:00 EST. Please see our terms for use of feeds.
Permalink | Email this | Commentshttp://feedads.g.doubleclick.net/~at/LHvp134U7G7wY01lOxs6OJgLwRc/0/di
http://feedads.g.doubleclick.net/~at/LHvp134U7G7wY01lOxs6OJgLwRc/1/di
http://feeds.feedburner.com/~ff/weblogsinc/autoblog?i=j03IOQzJyh8:U2rTgI3XN0k:wF9xT3WuBAs http://feeds.feedburner.com/~ff/weblogsinc/autoblog?i=j03IOQzJyh8:U2rTgI3XN0k:V_sGLiPBpWU
http://feeds.feedburner.com/~r/weblogsinc/autoblog/~4/j03IOQzJyh8