Ford Posts $1.9 Billion Profit in Second Quarter of 2015

Hot on the heels of General Motors’ impressive second-quarter results, Ford Motor Company also announced record profits for the second quarter of 2015. Ford posted $ 1.9 billion in net income on a revenue of $ 37.3 billion, giving the company an operating margin of 7.2 percent. Globally, Ford market share rose 0.1 percentage points year-over-year to 7.6 percent.
The results handily beat Ford’s Q2 2014 profit by 44 percent, and outpaces the company’s $ 924 million profit last quarter. Once again, Ford said that strong North American sales and profits led the entire company’s success, with North American pre-tax profits of $ 2.6 billion up $ 157 million from a year ago.

Ford said that higher sale prices of new models and “favorable volume” — the company’s U.S. sales are up 1.9 percent year-over-year so far in 2015 — drove the improved results. But Ford noted that low availability of its most popular model, the Ford F-150 pickup truck, hurt the company.

Ford also enjoyed record profits in its Asia Pacific region, with $ 192 million in pre-tax income. But in Europe, Ford continues to struggle. Sales volume on the continent rose 3 percent year-over-year, but Ford says the effect of a strong U.S. dollar compared to the Euro hurt the brand there, leading to a pre-tax loss of $ 14 million.

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