For the third quarter, Ford Motor Company posted a net income of $1.7 billion, or 43 cents per share as strong products, momentum in North America and persistent success at Ford Credit boosted growth even when business conditions are not quite ideal. The latest net income figure represents a $690 million improvement from the third quarter of 2009.
With special items excluded, Ford posted a pre-tax operating profit of $2.1 billion, or 48 cents per share, an improvement of $1.1 billion from a year earlier.
For five straight quarters, Ford has posted pre-tax operating profits. Furthermore, Ford’s third quarter revenue was $29 billion, a $1.3 billion drop from the same period the previous year.
Excluding Volvo revenue from 2009, Ford’s revenue in the third quarter was up $1.7 billion compared with the same period a year ago. Ford North America reported a third quarter pre-tax operating profit of $1.6 billion, a $1.3 billion improvement from third quarter 2009.
Ford is on course to achieve full-year market share in the US for the second straight year, standing for the first time since 1993 that Ford has gotten straight annual increases.
The company also revealed automotive debt reduction actions to reinforce the balance sheet. This includes further paying down its revolving credit line by $2 billion in the third quarter; prepayment of the remaining $3.6 billion of debt owed to the VEBA retiree health care trust by the end of October; and conversion offers on two convertible debt securities in the fourth quarter.
Ford President and CEO Alan Mulally said that this had been “another strong quarter” and that it continues to gain momentum with its One Ford plan. He added that it had grown profitably even at low industry volumes in key regions because of its ability to deliver world class products and aggressively restructure its business.