FORD MOTOR COMPANY QUARTERLY REPORT ON FORM 10-Q
Ford Motor Company’s quarterly report for the period ended September 30, 2025, highlights a revenue of $43.1 billion, a 10% increase from the same period last year. Net income was $2.3 billion, a 15% increase from the same period last year. The company’s automotive segment reported a revenue of $41.4 billion, with a pretax profit of $2.5 billion. Ford’s non-Automotive segment reported a revenue of $1.7 billion, with a pretax loss of $0.2 billion. The company’s cash and cash equivalents stood at $24.1 billion, a decrease of $1.4 billion from the same period last year. Ford’s debt stood at $64.4 billion, a decrease of $2.1 billion from the same period last year. The company’s diluted earnings per share were $0.59, a 12% increase from the same period last year.
Overview of Ford’s Financial Performance
Ford Motor Company reported strong financial results in the third quarter of 2025, with net income attributable to the company reaching $2,447 million. This represented a significant increase from the $892 million in net income reported in the same period a year earlier.
The company’s adjusted EBIT, which excludes certain special items, was $2,586 million in the third quarter, up slightly from $2,550 million a year ago. This translated to an adjusted EBIT margin of 5.1%, down from 5.5% in the prior-year quarter.
For the first nine months of 2025, Ford reported net income of $2,882 million, down from $4,055 million in the same period of 2024. Adjusted EBIT for the first nine months was $5,745 million, a decline from $8,070 million a year earlier.
Revenue and Profit Trends
Ford’s revenue increased 9% in the third quarter to $50,534 million, up from $46,196 million a year earlier. This was driven by higher wholesale volumes, favorable pricing, and improved product mix.
However, the company’s profitability was impacted by higher costs, including tariffs, as well as adverse foreign exchange impacts. Ford Blue, the company’s traditional internal combustion engine business, saw its EBIT decline 5% to $1,540 million in the quarter.
Ford’s electric vehicle business, Ford Model e, continued to struggle, posting an EBIT loss of $1,410 million, a $179 million wider loss than a year ago. The company cited adverse pricing, one-time charges, and unfavorable exchange rates as the primary factors behind the increased losses.
In contrast, Ford Pro, the company’s commercial vehicle and services unit, delivered strong results, with EBIT increasing 9% to $1,985 million. This was driven by higher volumes and favorable exchange rates, partially offset by lower fleet pricing.
Ford Credit, the company’s financing arm, also performed well, with EBT increasing 16% to $631 million, reflecting higher financing margins and receivables.
Strengths and Weaknesses
One of Ford’s key strengths is its diversified business model, with strong performance from its Ford Pro and Ford Credit segments offsetting challenges in the Ford Model e electric vehicle unit. The company’s traditional Ford Blue business also remains profitable, though margins have come under pressure.
Another strength is Ford’s strong liquidity position, with $32.9 billion in company cash (excluding Ford Credit) and $54.0 billion in total liquidity at the end of the third quarter. This provides the company with ample resources to invest in future growth opportunities, including its electric vehicle initiatives.
However, Ford’s electric vehicle strategy continues to be a weakness, with the Ford Model e unit struggling to gain traction and incurring significant losses. The company has had to cancel programs and take charges related to its EV efforts, which has weighed on its overall profitability.
The company also faces headwinds from regulatory and market dynamics in the electric vehicle space, including the recent termination of U.S. tax credits and potential reductions in emissions and fuel economy standards. These factors could further disrupt the EV market and impact Ford’s transition to electrification.
Outlook and Future Prospects
Looking ahead, Ford provided updated guidance for 2025, expecting adjusted EBIT in the range of $6.0 billion to $6.5 billion and adjusted free cash flow of $2.0 billion to $3.0 billion. This reflects the company’s efforts to manage the challenges in its electric vehicle business, including the impact of a production disruption at its Novelis subsidiary.
The company also noted that it expects tariffs to be a $1.0 billion net headwind for 2025, down from the previous estimate of $2.0 billion, as a result of recent policy changes.
Overall, Ford appears to be navigating a complex operating environment, with its diversified business model and strong liquidity position providing some insulation from the challenges in its electric vehicle segment. However, the company’s long-term success will depend on its ability to successfully execute its Ford+ plan, which includes improving cost competitiveness and delivering a compelling lineup of electric vehicles.
Investors will be closely watching Ford’s progress in transitioning to electrification, as well as its ability to manage the various regulatory and market dynamics impacting the industry. The company’s performance in its Ford Pro and Ford Credit segments will also be crucial in supporting its overall financial results.
In summary, Ford’s third quarter results demonstrate the company’s resilience, with strong contributions from its diversified business units offsetting the ongoing challenges in its electric vehicle operations. However, the road ahead remains uncertain, and Ford will need to continue to adapt and innovate to maintain its competitive position in the rapidly evolving automotive landscape.
