Ford posts 2 bln USD in net loss in 2022-Xinhua

Ford posts 2 bln USD in net loss in 2022

Source: Xinhua| 2023-02-03 11:42:15|Editor:

CHICAGO, Feb. 2 (Xinhua) -- Ford Motor Co. reported on Thursday 2 billion U.S. dollars in net losses for 2022, down from 17.8 billion dollars in profits reaped in 2021.

The U.S. automaker generated 158.1 billion dollars in revenue in the full year of 2022, up from 136.3 billion dollars in 2021; the adjusted earnings before interest and tax (EBIT) were 10.4 billion dollars, slightly higher than the adjusted 10-billion-dollar EBIT generated in 2021 and falling short of Ford's expectation of 11.5 billion dollars.

In the fourth quarter of 2022, the automaker generated 44 billion dollars in revenue with a net income of 1.3 billion dollars. EBIT was 2.6 billion dollars.

Ford attributes its 2022 loss to a mark-to-market net loss in Rivian, an investment loss in autonomous company Argo AI, and production instability resulting in higher costs and lower-than-planned volumes.

Ford's EBIT in North America was up 1.8 billion dollars to 9.2 billion dollars for the full year 2022 and was slightly above break-even but below its expectations in Europe. Ford reported a full-year loss of about 600 million dollars in China, where it's investing in EVs. In South America, Ford's EBIT exceeded 400 million dollars.

For 2023, Ford expects to earn 9 billion dollars to 11 billion dollars in adjusted EBIT on seasonally adjusted annual sales of about 15 million vehicles in the United States and about 13 million sales in Europe.