Ford says 2nd quater earnings "better-than-expected"

DEARBORN, Mich. (AP) - Ford Motor Co. reported better-than-expected earnings for the second quarter and raised its profit and sales forecasts for the year as strong U.S. pickup truck demand and growing sales in China offset persistent — but narrowing — losses in Europe.

"We are pleased with our second quarter results and our continuing receivables growth," Ford Credit Chairman and CEO Bernard Silverstone said. "Our focused support of Ford, our customers and dealers continues to benefit the enterprise."

Its shares rose 3 percent in pre-market trading Wednesday.

Ford Credit's net receivables totaled $94 billion, compared with $90 billion at year-end 2012 according to a June 30 report. Managed receivables were $95 billion at June 30, up from $91 billion at year-end 2012.

Ford earned $1.23 billion in the April-June period, up 18.5 percent from a year ago.

Ford Credit now expects year-end managed receivables in the range of $97 billion to $102 billion, which is within the prior range of $95 billion to $105 billion.

Ford's results were propelled by a $2.3 billion profit in North America, a second-quarter record for that region. Pickup truck sales are booming in the U.S., where construction companies and other businesses are rapidly replacing the fleets they held onto during the recession. Sales of Ford's F-Series pickup truck — which has long been the best-selling vehicle in the U.S. — jumped 26 percent in the second quarter, or more than three times the average industry increase.

Ford's total U.S. sales rose 15 percent during the quarter, according to Kelley Blue Book.

 

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