.png){kind=logo}
Ford reported a large quarterly loss after it booked one-time charges in its electric-vehicle business. The automaker set an optimistic tone for 2026 as it forecasts higher profit and cash flow.
Ford said fourth-quarter revenue reached $45.9 billion, down 5% from a year earlier. Full-year revenue rose 1% to a record $187.3 billion.
Ford posted a fourth-quarter net loss of $11.1 billion, compared with a $1.8 billion profit in the same period of 2024. For 2025, it reported a net loss of $8.2 billion. The company reported adjusted earnings per share of 13 cents for the quarter.
Ford reported adjusted EBIT of $1.0 billion for the fourth quarter and $6.8 billion for 2025. Adjusted EPS fell to 13 cents from 39 cents a year earlier.
Results varied across business lines. Ford Pro generated $66.3 billion of revenue in 2025 and delivered $6.8 billion of EBIT. Ford Blue produced $3.0 billion of EBIT on about $101.0 billion of revenue. Ford Model e reported a full-year EBIT loss of $4.8 billion.
Cash flow stayed positive for the year, but it weakened late in 2025. Ford generated $3.9 billion of operating cash flow in the quarter, yet it recorded negative adjusted free cash flow of $2.1 billion. At year-end, Ford reported nearly $29 billion in cash and about $50 billion in liquidity.
Ford linked the GAAP loss to special items, including charges tied to its EV strategy. Jim Farley said Ford “made difficult but critical strategic decisions” and aims for an 8% adjusted EBIT margin by 2029.
Ford faced higher costs from trade policy changes and supply constraints. The company said reduced tariff relief increased its tariff-related costs to about $2 billion in 2025, and it expects a similar burden in 2026.
Ford also managed supply disruptions after fires hit a Novelis Inc. aluminum plant in New York. The incident forced Ford to source more aluminum elsewhere and threatened output for its high-margin F-Series trucks. Ford management has cited a profit impact that approached $2 billion from the disruption and related production adjustments.
The combined pressures arrived as Ford continued to absorb steep EV losses. Executives said the Model e business should remain in the red through 2026, with a longer path to breakeven that extends into the decade.
Also Read: Ford Mustang FX Goes All-In On '90s Style
Ford stock forecasts adjusted EBIT of $8.0 billion to $10.0 billion. It also guided for adjusted free cash flow of $5.0 billion to $6.0 billion. The company expects capital spending of $9.5 billion to $10.5 billion, including about $1.5 billion tied to Ford Energy.
Segment guidance shows where Ford expects improvement. Ford Pro’s outlook calls for $6.5 billion to $7.5 billion of EBIT, while Ford Blue targets $4.0 billion to $4.5 billion. Ford Model e expects a $4.0 billion to $4.5 billion loss.
Sherry House said Ford expects stronger 2026 results as it improves execution and keeps a “disciplined approach to capital efficiency.” Ford plans to report first-quarter 2026 results on April 28.
