Earnings Preview: Ford Motor Co.

Ford Motor Company (F) is expected to report Q2 earnings before market open Thursday, July 24 with a conference call scheduled for 9:00 am ET.

Guidance

Analysts are looking for a loss of (27c) on revenue of $34.6B. The consensus range is (52c) to 5c for EPS, and revenue of $33.18B to $36.38B, according to First Call.

Analyst Views

On July 1, Ford reported its June sales were down -28% from a year earlier. In May, Ford reduced its 2008 production of large trucks and SUVs, as gas prices soar and customers move more quickly to smaller and more fuel-efficient cars and crossovers. The company also forecast cash outflows of $14B to $16B for 2007 to 2009. Ford said sales in its main 51 markets rose by nearly 2%.

On July 10, Citigroup commented on the Ford's liquidity outlook, and said that "the Detroit 3 will require significant cash resources and time to adjust operations for the 'new world' realities of higher oil and commodity prices." The firm said Ford's one to two year liquidity "remains adequate".

In addition to layoffs in the U.S., Gerald Schmidt, Ford's CTO, said there will also be layoffs in Germany and additional global cuts may be coming as well. Sources have said that Ford has held exploratory talks with Renault and China's Dongfeng Motor about selling Volvo. Insiders also said that Kirk Kerkorian may be willing to invest billions of dollars in the company if it needs cash.

Comments

[rookie101]

go ford!!!!!

I have driven a ford lately