Ford profit plunges 39% in first quarterFriday 25 April 2014 14.33
US car giant Ford's first-quarter profit plunged 39% on weaker sales in its key North America market amid severe winter weather.
Net income was $989m in the first three months of the year, down from $1.6 billion a year ago, the Ford Motor Company said today
Adjusted earnings of 25 cents per share came in six cents below Wall Street expectations. Revenue edged up to $35.9 billion.
Ford, the second-largest US car maker, said wholesale auto sales in North America fell 2% in volume and revenue declined 4%.
North America pre-tax profit fell to $1.5 billion, down $892m from the year ago record profit.
The decline was in part due to higher costs of $500m linked to weather-related charges and vehicle recalls.
Global car sales volume rose 6% and revenue climbed 1% from the first quarter in 2013.
Ford confirmed its 2014 full-year outlook for profit between $7 billion to $8 billion. The Michigan-based company plans to launch 23 new global vehicles this year.
"We had a solid quarter, and we are on track with our most aggressive product launch schedule in our history," Ford president and chief executive Alan Mulally said in a statement.