Ford Motor raised its 2026 earnings forecast after beating second-quarter expectations despite a revenue decline.
Ford Motor reported second-quarter results that exceeded Wall Street expectations, leading the company to raise its full-year earnings guidance. While total revenue fell 4% year-over-year to $48.3 billion, the automaker reported an adjusted EBIT margin of 5.2%, which is a 0.9% increase from the previous year. Ford Motor CEO Jim Farley stated that the company is becoming more profitable and disciplined. The company raised its full-year adjusted EBIT to a range of $10 billion to $11 billion, up from the previous estimate of $8.5 billion to $10.5 billion. This improvement was driven by resilient vehicle pricing, a high sales mix of profitable products, and an improved net tariff exposure. Despite a net loss of $1.3 billion this quarter due to one-time charges related to its electric vehicle business, Ford Motor remains optimistic. CFO Sherry House noted that the company is successfully navigating supply chain recoveries and expects a net EBIT improvement of $1 billion in the second half of the year.