Beautiful 1930 Ford Model A on 2040-cars

Auto blog

Autoblog Minute: Ford reports record second-quarter profits

Second-quarter financial results are in, and Ford reports increased profits. Autoblog's Mylencia Gillenwaters reports on this edition of Autoblog Minute. Show full video transcript text [00:00:00] Second-quarter financial results are in, and Ford reports increased profits. I'm Mylencia Gillenwaters and this is your Autoblog Minute. Ford Motor Company reports second-quarter financial results including a pre-tax profit of $2.9 billion dollars and a net income of $1.9 billion. Excluding special items charges, this marks a 10-percent increase over last year's profits. This latest report from the Dearborn-based automaker marks their best quarterly profit since 2000. Looking forward [00:00:30] CFO Bob Shanks said in a statement that he expects the second half of the year to be even better, as supply constraints of the redesigned Ford F-150 affected first-half sales. For Autoblog I'm Mylencia Gillenwaters. Autoblog Minute is a short-form video news series reporting on all things automotive. Each segment offers a quick and clear picture of what's happening in the automotive industry from the perspective of Autoblog's expert editorial staff, auto executives, and industry professionals. Earnings/Financials Ford Autoblog Minute Videos Original Video

Ford reveals concept trucks that ultimately became Atlas

The Ford Atlas Concept was one of the quiet success stories of the 2013 Detroit Auto Show, and now Ford has given us a quick glimpse as to how that creation came to be. Designers actually combined two early sketches to build the Atlas. One, called the Bullet Train, is a futuristic, aerodynamic creation, while the other, aptly named the Locomotive, features the squared off proportions we're familiar with.
Once designers settled on the truck's proportions, they began nailing down exactly which attributes they wanted the final design to have. The Concept's notched windshield originated as a forked glass roof that seamlessly transitioned into the windscreen.
Likewise, designers wanted to fit the truck's tailgate with a storage compartment for tools and a first aid kit, but settled on the dual-purpose step/cargo cradle. Interestingly enough, the concept's active aero shutter wheels actually originated in some of the earliest sketches. Check out the photos and slides here for a closer look.

Rising aluminum costs cut into Ford's profit

When Ford reports fourth-quarter results on Wednesday afternoon, it is expected to fret that rising metals costs have cut into profits, even as rivals say they have the problem under control. Aluminum prices have risen 20 percent in the last year and nearly 11 percent since Dec. 11. Steel prices have risen just over 9 percent in the last year. Ford uses more aluminum in its vehicles than its rivals. Aluminum is lighter but far more expensive than steel, closing at $2,229 per tonne on Tuesday. U.S. steel futures closed at $677 per ton (0.91 metric tonnes). Republican U.S. President Donald Trump's administration is weighing whether to impose tariffs on imported steel and aluminum, which could push prices even higher. Ford gave a disappointing earnings estimate for 2017 and 2018 last week, saying the higher costs for steel, aluminum and other metals, as well as currency volatility, could cost the company $1.6 billion in 2018. Ford shares took a dive after the announcement. Ford Chief Financial Officer Bob Shanks told analysts at a conference in Detroit last week that while the company benefited from low commodity prices in 2016, rising steel prices were now the main cause of higher costs, followed by aluminum. Shanks said the automaker at times relies on foreign currencies as a "natural hedge" for some commodities but those are now going in the opposite direction, so they are not working. A Ford spokesman added that the automaker also uses a mix of contracts, hedges and indexed buying. Industry analysts point to the spike in aluminum versus steel prices as a plausible reason for Ford's problems, especially since it uses far more of the expensive metal than other major automakers. "When you look at Ford in the context of the other automakers, aluminum drives a lot of their volume and I think that is the cause" of their rising costs, said Jeff Schuster, senior vice president of forecasting at auto consultancy LMC Automotive. Other major automakers say rising commodity costs are not much of a problem. At last week's Detroit auto show, Fiat Chrysler Automobiles NV's Chief Executive Officer Sergio Marchionne reiterated its earnings guidance for 2018 and held forth on a number of topics, but did not mention metals prices. General Motors Co gave a well-received profit outlook last week and did not mention the subject. "We view changes in raw material costs as something that is manageable," a GM spokesman said in an email.