Jim Farley, Ford CEO, takes off his mask at the Ford Built for America event at Ford’s Dearborn Truck Plant on September 17, 2020 in Dearborn, Michigan.
Nic Antaya | Getty Images
DETROIT – Ford engine is expected to post a profit for the first quarter on Wednesday despite continued earnings Shortage of semiconductor chips This has depleted vehicle inventories and caused the company to close some of its factories.
Here’s what Wall Street expects, based on the average analyst estimates produced by Refinitiv:
- Adjusted earnings: 21 cents per share
- Revenue: $ 32.23 billion
While Wall Street will watch Ford’s profits, it will be more interested in a change in company policy for 2021 due to the shortage of chips.
Ford previously expected the parts problem could cut its profits by $ 1 billion to $ 2.5 billion in 2021. Without releasing any new guidance, the company said last month it would “provide an update on the financial impact of the semiconductor shortage” when it reports its first quarter results.
On a more positive note, the lower inventory levels and lack of production have resulted in higher profits per vehicle for automakers.
Wall Street is looking for any, too additional business changes from Ford CEO Jim Farley, who replaced Jim Hackett effective October 1, and any updates to the company’s electric vehicle plans.
Ford announced on Tuesday that it will produce “sometime” own batteries and battery cells. However, the company declined to discuss a timetable for this. In November, Farley said Ford was “absolutely” keen to see Tesla and follow suit General Motors in the manufacture of its own batteries for electric vehicles in the USA
Ford’s shares have risen nearly 90% since Farley became CEO, including more than 40% in 2021. The company’s market capitalization is more than $ 48 billion.
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