Ford Reports Q4 Beat, Guides Conservatively for 2025

Company Highlights:

* Ford (F) exceeded Q4 earnings and revenue estimates.
* Full-year profit slightly surpassed expectations.
* 2025 guidance projects adjusted EBIT of $7 billion to $8.5 billion and adjusted free cash flow of $3.5 billion to $4.5 billion.

Q4 Results:

* Revenue: $48.2 billion, up 5% YoY
* Adjusted EPS: $0.39
* Adjusted EBIT: $2.1 billion

Ford+ Unit Performance:

* Ford Blue: Revenue of $27.3 billion, EBIT of $1.58 billion
* Model e (EV): Revenue of $1.4 billion, EBIT loss of -$1.38 billion
* Ford Pro: Revenue of $16.2 billion, EBIT of $1.62 billion

Guidance and Outlook:

* Model e segment projected to maintain EBIT loss in 2025.
* Company anticipates $1 billion in cost savings.
* Q1 2025 adjusted EBIT expected to be "roughly breakeven" due to lower sales.
* Ford CEO Jim Farley emphasizes focus on quality and cost improvements in 2025.

Tariffs and Policy:

* Ford supports a "comprehensive" tariff policy that applies to all automakers.
* CFO Sherry House warns that a 25% tariff on imports would "have a major impact on our industry."

Market Reaction:

* Ford stock initially declined 4% after the earnings report.