Ford Raises Annual Guidance After Strong Q2 Results

Wall Street analysts had expected 35 cents. According to Ford, the outperformance stemmed from greater operational efficiency, steady vehicle pricing, and a favorable mix of high-margin models.

Ford incurred a GAAP net loss of $1.3 billion in the quarter, due to $4.2 billion in one-time items. These charges comprised $3.6 billion for restructuring the BlueOval SK battery venture with SK On and $500 million related to a scrapped EV project. For comparison, the company posted a net loss of $36 million in the second quarter of 2025.

Revenue came in below expectations. Automotive revenue was $44.89 billion, slightly below the $45.86 billion analysts expected. Total revenue, including Ford's financial arm, was $48.3 billion, down 4% from a year ago.

Additionally, Ford boosted its projected adjusted free cash flow to between $6 billion and $7 billion, versus the earlier $5 billion to $6 billion.

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The higher free cash flow projection incorporates a $500 million cash inflow received earlier than anticipated, stemming from a $1.3 billion tariff reimbursement that had been previously disclosed.

Ford now expects its traditional Ford Blue business to earn between $5 billion and $5.5 billion for the year, a $500 million improvement. The company tightened its forecast for fleet earnings to the $7 billion-$7.5 billion range. The projected deficit for Ford's Model e electric-vehicle unit was reduced to roughly $4 billion, down from an earlier forecast of $4 billion to $4.5 billion in losses.

Chief Executive Officer Jim Farley stated in a press release, "We delivered another strong quarter and raised our full-year guidance, but the more important story is the growing evidence that Ford is becoming a more profitable, more disciplined and genuinely different company."

Ford's F-Series pickup truck production had been disrupted by two fires at aluminum supplier Novelis. Production at the New York facility restarted last month. The company anticipates recouping roughly $2.5 billion of the production volume that was lost because of the fires, the lowest figure in a possible range that extended to $3 billion.

CFO Sherry House stated that the company's F-Series output recovery will extend through the latter part of 2026, reaffirming an approximately $1 billion improvement relative to the impact reported last year. "We're successfully navigating the Novelis aluminum supply recovery plan, and we remain confident in our net $1 billion EBIT improvement in 2026, heavily weighted to the second half of the year," House told reporters during a conference call.

The automaker also reiterated its intention to achieve roughly $1 billion in full-year savings from materials and warranty costs.

A fact-checker flagged these problems:

• For the second quarter of 2026, Ford posted adjusted earnings of $0.42 per share.
• The automaker increased its 2026 adjusted EBIT guidance to a range of $10 billion to $11 billion.
• After the report, Ford's stock surged about 7% in extended trading.

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