Ford Motor Co. is expected to soon post its biggest third-quarter profit in its 107-year history. The boost in Ford’s share of the US auto market is attributed to CEO Alan Mulally’s overhaul of the model lineup. According to the analysts that Bloomberg surveyed, Ford will report $1.37 billion in net income for the quarter -- up from $997 million.
Ford’s previous record for third-quarter net income was $1.13 billion in 1997. Estimates for adjusted quarterly profit have increased to 38 cents a share, the average of 12 analysts, compared to about 34 cents a month ago.
Autodata Corp. said that Ford won 15.1% of US light-vehicle sales in the quarter, compared to 13% two years previously. On average, buyers are paying more for Ford vehicles as Ford launches new models like the Fiesta subcompact and added features such as voice-activated phone and stereo controls.
Brian Johnson, a Barclays Capital analyst, said that Ford has come up with a “virtuous circle of the right products” that are aimed at the “right customers with the right options.”
The three-month period through September was Ford’s sixth straight profitable quarter. Ford’s losses from 2006 to 2008 totaled $30.1 billion as a sudden drop in sport-utility vehicle sales was followed by the global economic crisis. [via autonews - sub. requred]