Posted At: Feb 11, 2026 - 171 Views
Ford Motor Company (NYSE: F) published its fourth-quarter and full-year 2025 earnings in early February 2026. The results showed mixed performance: record revenue and solid cash flow, offset by net losses tied to electric vehicle programs and special charges. Despite the challenges, the automaker provided positive guidance for 2026, aiming for improved profitability and strong free cash flow.
📈 2025 Earnings Overview
Revenue & Net Loss
Record full-year revenue: $187.3 billion — a new high for Ford.
Full-year net loss: $-8.2 billion, largely due to special charges related to electric vehicle (EV) program changes.
Fourth-quarter revenue: $45.9 billion, above many analysts’ forecasts.
Quarterly net loss: $11.1 billion, reflecting heavy EV-related write-downs.
Despite strong top-line results and exceptional operating cash flow, Ford posted significant losses due to strategic shifts in its EV business and elevated costs.
Earnings Per Share (EPS)
Ford reported a fourth-quarter adjusted EPS of $0.13, missing analyst expectations (which were closer to $0.18–$0.19 per share). This was also below year-ago levels, indicating pressure on profitability.
Revenue beat expectations slightly, but profit metrics disappointed investors in terms of bottom-line performance.
🧾 Underlying Business Trends
Segment Performance
Ford Pro (commercial vehicles and services) continues to be a profit driver with strong revenue and healthy margins.
Ford Blue (traditional gas/hybrid vehicle business) contributed significantly to overall revenue, though profits were down.
Model e (EV division) remained a large source of losses, though the rate of loss narrowed compared with earlier years.
Adjusted operating profit (EBIT) for the full year was $6.8 billion, compared with higher levels in previous years, reflecting cost pressures and restructuring impacts.
🚗 Electric Vehicle Strategy & Charges
Ford’s EV efforts — part of its Model e division — led to substantial charges and impairments, pushing the company’s GAAP earnings negative for the year. However, management has guided that EV losses should gradually narrow, with ongoing investment into more affordable EVs and hybrid portfolios.
Despite this, losses from Model e are still forecasted to persist in 2026 as Ford ramps up new platforms and transitions its product strategy.
🔮 2026 Guidance & Outlook
Profit & Cash Flow Targets
For the fiscal year 2026, Ford has issued guidance that includes:
Adjusted EBIT (core profit): $8 billion to $10 billion.
Adjusted free cash flow: $5 billion to $6 billion.
Capital expenditures (CapEx): $9.5 billion to $10.5 billion.
Growth investments: Focused on electrification and Ford Energy storage solutions.
This outlook suggests an improvement over 2025 performance if Ford can deliver on efficiency and cost controls.
📊 Market Reaction
Markets reacted positively to Ford’s 2026 guidance, with shares rising modestly after hours. Investors seem encouraged by revenue beats and future profit projections despite 2025 swings.
📌 Conclusion
Ford’s earnings for 2025 were a mixed bag, with record revenue and robust cash flow overshadowed by net losses tied to EV program rework and special charges. The company’s future outlook for 2026 focuses on improving adjusted profit, generating strong cash flow, and continuing investments in profitable segments like Ford Pro, while the EV business seeks a clearer path to profitability.
