Ford Q4 earnings preview: EV losses, F-150 pickup business crucial for investors

Core Insights - Ford is set to report its fourth quarter results, focusing on its electric vehicle (EV) business and the impact of an aluminum plant fire on F-150 sales [1] Financial Performance - Ford is expected to report Q4 revenue of $42.40 billion, with adjusted earnings per share (EPS) of $0.19 and adjusted EBIT of $1.16 billion [1] - The company reported a $19.5 billion charge in December due to a shift in its EV strategy, with $12.5 billion recognized in Q4 and the remainder in 2026 and 2027 [2] - The asset impairment portion of the write-down is $8 billion, including $6 billion related to restructuring and asset acquisition from SK On [3] - Ford raised its 2025 adjusted EBIT guidance to about $7 billion, up from a previous range of $6 billion to $6.5 billion, while analyst consensus estimates are at $8.86 billion [4] Business Segments - Ford's business is divided into three units: Ford Blue (traditional gas-powered), Ford Model e (electric vehicles), and Ford Pro (commercial trucks) [6] - For Q4, Ford Blue is expected to generate $25.02 billion in revenue with $830.7 million in EBIT, while Model e is projected to have $1.16 billion in revenue but a $1.3 billion EBIT loss, and Ford Pro is expected to report $14.91 billion in revenue with $1.63 billion in EBIT [6] Sales Performance - Despite challenges in the EV sector and F-150 production, Ford's US sales rose 2.7% in Q4 compared to the previous year, driven by truck and hybrid sales [7] - For the full year, Ford reported a 6% increase in US sales, totaling approximately 2.2 million vehicles [7]