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Ford (F) Drives Past Q3 Earnings Estimates, Improve Y/Y

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Ford Motor Co. (F - Free Report) posted adjusted earnings per share of 43 cents in the third quarter of 2017. The reported figure was 17 cents higher than the year-ago figure. Also, earnings surpassed the Zacks Consensus Estimate of 33 cents per share.

Adjusted pre-tax profit was $2 billion, reflecting an increase of $0.6 billion from the year-ago quarter.

Third-quarter net income came in at $1.6 billion, reflecting an increase of $0.6 billion from the year-ago quarter.

Ford logged automotive revenues of $33.6 billion, surpassing the Zacks Consensus Estimate of $32.9 billion. Automotive revenues in the prior year-ago quarter were $33.3 billion.

Ford Automotive

Wholesale volumes at the Ford Automotive segment decreased 26,000 units to 1.5 million. Pre-tax profit increased to $1.7 billion from $1.1 billion in the year- ago quarter.

In North America, revenues decreased $0.9 billion to $20.9 billion. Wholesale volumes declined 37,000 year over year to 650,000 units. Further, pre-tax profit increased to $1.7 billion from $1.3 billion in third-quarter 2016.

In South America, revenues increased $0.2 billion to $1.5 billion. Wholesale volumes rose 14,000 to 103,000 units. Pre-tax loss amounted to $158 million.

In Europe, revenues increased $0.6 billion to $6.9 billion. Wholesale volumes increased by 22,000 year over year to 342,000 units. The region incurred pre-tax loss of $86 million.

In the Middle East & Africa segment, revenues declined $0.2 billion year over year to $0.6 billion. Wholesale volumes plunged 6,000 units to 30,000 units. The region incurred pre-tax loss of $60 million.

In the Asia-Pacific region, revenues of $3.7 billion improved 19.4% year over year. Wholesale volumes declined 19,000 to 379,000 units. The Asia-Pacific region generated pre-tax profit of $289 million.

Financial Services

Ford Credit generated pre-tax profit of $600 million, up from $567 million in the prior-year quarter.

Financial Position

Ford had cash and cash equivalents of $17.6 billion as of Sep 30, 2017, up from $15.9 billion as of Dec 31, 2016.

2017 Guidance

The company expects 2017 adjusted EPS in the range of $1.75-$1.85, up from the prior guidance of $1.65-$1.85.

Zacks Rank and Top Picks

Ford currently carries a Zacks Rank #4 (Sell).

A few better-ranked stocks in the auto space are PACCAR Inc (PCAR - Free Report) , Fox Factory Holding Corp (FOXF - Free Report) and Daimler AG .

While PACCAR sports a Zacks Rank #1 (Strong Buy), both Fox Factory Holding and Daimler carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

PACCAR, Fox Factory Holding and Daimler have a long-term expected earnings growth rate of 10%, 14.2%, and 2.8%, respectively.

Ford Motor Company Price, Consensus and EPS Surprise

Ford Motor Company Price, Consensus and EPS Surprise | Ford Motor Company Quote

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