German Manager Magazin: Ford: Pickup hype makes for profit000288

The second largest US automakerfordhas increased profit significantly in the third quarter. The bottom line was that the group earned 2.4 billion dollars (2 billion euros) in the three months to the end of September after 400 million in the same period last year. Sales rose 1 percent to $ 37.5 billion, Ford announced on Wednesday after the US market closed.

Ford also raised its annual forecast and now expects black numbers for 2020.

Similar to the day before Fiat Chrysler had reported, the carmaker benefited greatly from the lucrative business with SUVs and pick-up trucks in the US home market, where demand picked up again in the summer after the Corona shutdown.

For the heavy machinery, the group posted the strongest sales in a quarter since 2005. Because these vehicles are particularly expensive, the average sales price of Ford cars rose to 45,599 dollars.

In addition, the financial division Ford Credit delivered the best results in 15 years, which led to significantly higher profit margins.

The US auto giant’s European business remains problematic. There was an operating loss of $ 440 million and sales fell 10 percent. Overall, market expectations were exceeded by far, the share reacted after the stock market with a price jump of 6 percent.

The group does not want to rely on the old profit drivers. The new Ford boss Jim Farley (58) announced that an electric Ford Transit would be presented in November. In the light vans segment, Ford is hoping for a leading role in converting to electric mobility.

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