Ford Ford’s Fourth Quarter Earnings: What Wall Street Expects Now!

DETROIT, MICHIGAN — Ford Motor is set to release its fourth-quarter and 2023 earnings after the markets close on Tuesday. Wall Street analysts are eagerly anticipating the results, with expectations for a 73.4% decrease in adjusted earnings per share compared to a year earlier, as well as a 3.9% decline in automotive revenue.

Ford’s 2022 fourth-quarter results revealed $41.8 billion in automotive revenue, net income of $1.3 billion, and adjusted earnings before interest and taxes of $2.6 billion. Analysts will also be closely watching Ford’s 2024 guidance, expecting it to be flat to slightly lower compared to 2023.

The company’s earnings forecast is estimated to be between $9 billion and $11 billion, as per investor notes from several analysts. In November, Ford had forecasted 2023 adjusted EBIT of $10 billion to $10.5 billion, reflecting a $1 billion decrease in light of contract negotiations with the United Auto Workers union.

With the new UAW contract expected to cost $8.8 billion over the next few years, Ford is also expected to address increasing labor costs. Furthermore, the company is expected to face headwinds this year, including lower vehicle prices, warranty costs, and continued losses for all-electric vehicles.

Despite these challenges, bright spots are expected for Ford’s Ford Pro fleet unit and traditional Ford Blue internal combustion engine business. The company’s performance and outlook will be a focal point for investors, as they assess Ford’s position in the competitive automotive industry.

As the markets await Ford’s earnings report, analysts and investors are keeping a close eye on the company’s strategic decisions and performance, which will undoubtedly have a significant impact on the industry.