Ford makes a loss: ‘Have left $ 2 billion behind’

The loss in 2022 is mainly due to what Ford calls ‘Special Items’ in its report. This seems to concern investments that the brand makes outside its core activities, such as the share in EV builder Rivian that has since been sold. That transaction alone resulted in a loss of USD 7.4 billion in 2022, and then it is quite difficult to rectify that with our own activities.

For Ford itself, so apart from these investments, things were fortunately a lot healthier in 2022. Earnings Before Interest and Taxes (EBIT) was $10.4 billion. A lot, but less than predicted. CEO Jim Farley himself says that the company “left behind” $ 2 billion in profit in 2022, so it was within reach but was unable to achieve for various reasons. In 2023, of course, everything must be better.

According to Farley, this will succeed because Ford now has a strong and up-to-date model range. The costly electrification plans are now all on track and the organization has made great strides in that area, says the big boss. Bloomberg does note that Ford still depends for a large part of its profit on very strong non-electric models such as the (regular) F-150 and the Bronco, so there is still a challenge for the Americans. In order to achieve better results in 2023, job cuts are also on the menu, according to the news agency. Several thousand employees would be fired in both America and Europe.