Ford whiffs on earnings and warns that the rest of the year will be 'weaker than normal'
(Ford)
Ford on Thursday reported second-quarter earnings that missed analysts' expectations, also saying there were risks to achieving the company's full-year outlook.
The automaker reported adjusted earnings per share of $0.52, missing analysts' estimates by eight cents, according to Bloomberg.
Net income fell year-on-year to $1.97 billion from $2.16 billion.
Ford said it expected a weaker-than-normal second half of the year, especially in the third quarter, because of risks including China's economy and the UK's vote to exit the European Union.
The "company now sees risks challenging achieving guidance," Ford said in its earnings release. The "entire Ford team working to mitigate the risks," it said.
Ford's earnings came in lighter than expected even after cheaper gas helped to lift sales of its trucks including the F-Series. While North American revenue increased, South America was a drag because of weakness in Brazil's economy and weaker local currencies on the continent.
In the Middle East and Africa, lower oil prices and political crises reduced wholesales.
Ford shares fell by as much as 10% in trading. They have lost 11% of their value this year.
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