[ad_1]
Ford announced Wednesday a lower quarterly net profit, mainly due to charges related to the restructuring of the manufacturer's units in Europe and South America.
US automaker # 2 reported net income of $ 148 million, or 4 cents a share, in the second quarter, down from $ 1.1 billion, or 27 cents a share, a year ago .
Excluding exceptional costs, the company earned 28 cents per share. Analysts expected Ford to earn 31 cents per share, according to Refinitiv's IBES data.
"The results were affected by a valuation-to-market valuation adjustment of $ 181 million on Ford's shares in Pivotal Software, a cloud-based software company," said the automaker in a statement.
"Excluding the revaluation of Pivotal Software, the adjusted EBIT would have been $ 1.8 billion and Adjusted EPS, $ 0.32."
"In the midst of this year's key action, we are excited about the progress we are making in creating a more dynamic and profitable business," said Jim Hackett, CEO of Ford. "In this time of profound change in our industry, Ford offers incredible opportunities to delight customers, innovate and collaborate in new ways and create value."
In an interview with Business Insider after the release of the results, Ford CFO Tim Stone said the company was "well above the cash and liquidity targets."
Ford reported cash balances of $ 23.2 billion and total liquidity of $ 37.3 billion.
After trading, the Ford share fell 6.5% to $ 9.66. The stock had closed at $ 10.33.
(Reuters report by Nick Carey, edited by Nick Zieminski)
Source link
