Ford Beats Q4 Estimates But Issues Muted 2025 Guidance

Ford reported better-than-expected fourth-quarter earnings and revenue, with full-year profit slightly exceeding expectations. However, the company issued a cautious outlook for 2025, Yahoo Finance reporter Pras Sunramanian wrote.

Ford also warned that first-quarter 2025 adjusted EBIT would be "roughly breakeven" due to lower sales and an unfavorable product mix. I Photo: Ford

Ford projected full-year 2025 adjusted EBIT (earnings before interest and taxes) between $7.0 billion and $8.5 billion, with adjusted free cash flow ranging from $3.5 billion to $4.5 billion.

The company noted that its guidance accounts for market-related challenges, such as pricing pressures, but does not include potential policy changes, such as the loss of EV tax credits or new tariffs.

“A 25% tariff on imports would have a major impact on our industry,” Ford CFO Sherry House told reporters during a call.

For comparison, Ford posted 2024 adjusted EBIT of $10.2 billion on revenue of $185 billion, with a net income of $5.9 billion. Last quarter, the company had projected 2024 adjusted EBIT to be approximately $10 billion.

Following the report, Ford shares dropped 4% in after-hours trading. The company also warned that first-quarter 2025 adjusted EBIT would be "roughly breakeven" due to lower sales and an unfavorable product mix, as Ford factories in the U.S. ramp up new product launches.