DEARBORN, Mich. — Ford Motor Company said Wednesday its net income rose 19 percent in the second quarter, to $1.2 billion, as it reported record sales in North America and Asia and stanched losses in Europe.þþThe automaker surpassed analyst expectations by reporting global revenue of $38.1 billion, an increase of 15 percent from the same quarter a year ago. Pretax operating profit was $2.6 billion, up $726 million. þþStrong sales in North America continued to carry the company as it loses money in Europe and restructures its operations there and invests heavily in China. It was the 16th consecutive profitable quarter for Ford. þþ“Our strong second quarter with improved results in every region around the world is another proof point that our One Ford plan is continuing to deliver and is building momentum,” said Alan Mulally, Ford president and chief executive, in a statement. þþThe record sales in North America, as well as the gradually improving European market, prompted Ford to raise its full-year outlook, which now calls for pretax profit to equal or surpass 2012. þþ“We’ve already blown past what we did last year,” Robert L. Shanks, chief financial officer, told reporters at Ford’s headquarters in Dearborn. þþThe automaker reported a pretax loss of $348 million in Europe but said that was an improvement from both the second quarter of last year and the first quarter of this year. Ford said it expected to lose $1.8 billion in Europe this year, less than the $2 billion it had previously projected. þþIn the Asia Pacific region and China, in particular, Ford said it recorded its highest pretax profit of any quarter. South America also returned to profitability, fueled by the popularity of the Ranger and EcoSport models, Mr. Shanks said. þþThe quarter’s results also prompted Ford to raise its expectations for sales in the United States, Europe and China this year. It projects that the industry is on track to sell 15.5 million to 16 million vehicles in the United States. þþ“Ford has seen their market share increase to 16.5 percent in the United States, a close to one-point increase compared to the first six months in 2012,” said Alec Gutierrez, senior analyst at Kelley Blue Book. þþ“Although North America will likely be a bright spot for Ford, we expect to see continued weakness in both the South American and European markets, which should at least partially offset gains in North America,” Mr. Gutierrez said. þ
Source: NY Times
