Ford reports $2.6 billion net income

Ford Motor Company has reported first quarter 2011 net income of $2.6 billion, or 61 cents per share, an increase of $466 million, or 11 cents per share, from first quarter 2010 as fuel-efficient new products, continued investment in global growth and...

Ford Motor Company has reported first quarter 2011 net income of $2.6 billion, or 61 cents per share, an increase of $466 million, or 11 cents per share, from first quarter 2010 as fuel-efficient new products, continued investment in global growth and the strengthening of Ford’s core business boosted results.

“Our team delivered a great quarter, with solid growth and improvements in all regions,” said Alan Mulally, Ford president and CEO.

First quarter 2011 pre-tax operating profit was $2.8 billion, or 62 cents per share, an increase of $827 million, or 16 cents per share, from first quarter 2010. This increase reflects improved profits in each automotive segment, led by a strong performance in North America and solid improvement in Europe.

First quarter automotive pre-tax operating profit was $2.1 billion, an increase of $936 million from first quarter 2010.  First quarter Ford Credit pre-tax operating profit was $713 million, a decrease of $115 million from first quarter 2010.

North America posted a first quarter pre-tax operating profit of $1.8 billion, a $591 million increase from first quarter 2010.

Europe reported a first quarter pre-tax operating profit of $293 million, an increase of $186 million from first quarter 2010. South America and Asia Pacific Africa also posted increased pre-tax operating profits.

Ford’s first quarter revenue was $33.1 billion, an increase of $5 billion from first quarter 2010. The company generated positive automotive operating-related cash flow of $2.2 billion in the first quarter, an improvement of $2.3 billion from first quarter 2010.

Ford also made significant progress in strengthening its balance sheet, with a net reduction in automotive debt of $2.5 billion in the first quarter, including the redemption of all outstanding trust preferred securities. Ford ended the first quarter with $21.3 billion of automotive gross cash, an increase of $800 million compared to December 31, 2010. Automotive gross cash exceeded debt by $4.7 billion, an improvement of $3.3 billion from year end 2010.

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