Ford Motor Company
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +1.67%.
Did F Beat Earnings? Q2 2025 Results
Ford Motor Company delivered a stronger-than-expected second quarter, posting adjusted EPS of $0.37 against a consensus estimate of $0.333 — an 11.11% beat — while revenue of $50.18 billion topped expectations of $43.93 billion by 14.25% and rose 5.0% year-over-year. The headline numbers masked a GAAP net loss of $36 million, weighed down by $1.30 billion in special items including a $600 million fuel injector field service charge and $300 million in EV program cancellation costs. The engine of outperformance was Ford Pro, the commercial vehicle segment, which generated $2.32 billion in EBIT on $18.80 billion in revenue — up 11% year-over-year — as paid software subscriptions climbed 24% to 757,000 units, underscoring the division's growing role as a recurring-revenue powerhouse. Tariffs remained a meaningful drag, cutting adjusted EBIT by $800 million in the quarter alone. Still, Ford reinstated full-year 2025 guidance — withdrawn in May amid tariff uncertainty — now targeting adjusted EBIT of $6.50 billion to $7.50 billion, with <a href="https://247wallst.com/investing/2025/10/23/ford-a-stronger-and-more-agile-company-as-shares-pop-higher/">shares responding positively</a> to the company's restored forward visibility.
- Ford Pro software and physical services contributed 17% of Ford Pro EBIT on trailing 12-month basis
- Ford Pro paid subscriptions grew 24% year-over-year to 757,000
- Fourth consecutive quarter of year-over-year cost improvement excluding tariff impacts
- Closed roughly $1.5 billion of competitive cost gap in material cost last year
- Ford Credit earnings before taxes increased 88% year-over-year to $645 million
- Ford Blue achieved profitable market share gains, higher net pricing and cost improvement
“Our second-quarter performance shows the power of the Ford+ plan and continued execution on cost and quality. Ford Pro is a unique competitive advantage driving both top and bottom-line growth while creating new high-margin revenue streams from software and physical services. Ford Blue delivered profitable market share gains, and we continue to improve the efficiency of our Ford Model e business. We have scheduled an event on Aug. 11 in Kentucky where we will share more about our plans to design and build breakthrough electric vehicles in America.”
Ford CEO, on the earnings call
Forward Guidance & Outlook
Ford reinstated full-year 2025 guidance after withdrawing it in May due to tariff-related uncertainty. The company now expects adjusted EBIT of $6.5 billion to $7.5 billion (down from the initial February guidance of $7.0 billion to $8.5 billion), adjusted free cash flow of $3.5 billion to $4.5 billion, and capital expenditures of about $9 billion. The guidance includes a net tariff-related headwind of about $2 billion, reflecting $3 billion of gross adverse adjusted EBIT impact partially offset by $1 billion of recovery actions. The updated guidance reflects strong underlying first-half performance across Ford Blue, Ford Model e, Ford Pro, and Ford Credit, plus continued cost improvement. The company is providing only Total Company outlook for the remainder of the year.
F YoY Financials
F Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.