Ford has introduced a US$8.2 billion (A$11.5 billion) loss for the total 2025 calendar 12 months, its worst end result since 2008 and third full-year loss up to now six years – regardless of file income.
Ford confirmed its Mannequin e electrical car (EV) division posted a US$4.8 billion (A$6.8 billion) EBIT (earnings earlier than curiosity and tax) loss in 2025, after beforehand confirming late final 12 months it might take a US$19.5 billion (A$27.6 billion) write-down on its EV investments.
This noticed it axe the electrical Ford F-150 Lightning (not formally offered in Australia), and delay different deliberate EV fashions.
Moreover, the introduction of import tariffs within the US from April 2025 – and subsequent extra components tariffs and country-specific ‘reciprocal’ and ‘retaliatory’ tariffs – price the automaker US$2 billion (A$2.82 billion).
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Ford stated the US federal authorities’s December 2025 tariff change meant the automaker couldn’t declare anticipated offsets, including US$900 million (A$1.27 billion) extra in tariff prices than beforehand forecast.
Chief monetary officer Sherry Home stated the corporate anticipated to pay one other US$2 billion (A$2.82 billion) in tariff-related prices in 2026, whereas it expects to lose between US$4–4.5 billion (A$5.6–6.35 billion) on EVs this 12 months.
Regardless of the loss, Ford posted file income of US$187.3 billion (A$264.2 billion), which noticed its share worth rise, whereas US union employees will nonetheless profit from a US$6780 (A$9562) profit-sharing cost, though down from US$10,200 (A$14,386) final 12 months.
The Ford F-Collection was the best-selling car line within the US, heading off the Chevrolet Silverado and Toyota RAV4, whereas the Ford Ranger took the high spot in Australia for the third consecutive 12 months.
The corporate decreased prices by US$1.5 billion (A$2.12 billion) in 2025 and expects to ship an additional US$1 billion (A$1.41 billion) in price cuts in 2026.
“Ford delivered a robust 2025 in a dynamic and infrequently unstable setting,” Ford CEO Jim Farley stated in a press release.
“We improved our core enterprise and execution, made vital progress within the areas of the enterprise we management — reducing materials and guarantee prices and making actual progress on high quality — and made tough however crucial strategic selections that set us up for a stronger future.
“Shifting ahead, we’ll proceed constructing on our sturdy basis to attain our goal of eight per cent adjusted EBIT margin by 2029.”
Whereas coping with EV and tariff prices, the automaker is seeking to capitalise on the growing recognition of hybrid fashions within the US, and is engaged on extended-range electrical car (EREV) know-how for upcoming fashions similar to the brand new F-150 Lightning.
It additionally revealed it’s engaged on a less expensive ‘common’ EV pickup amongst 5 new ‘inexpensive’ fashions, after it axed its Escape SUV within the US, leaving a spot in its lineup.
Ford can be in talks with a number of Chinese language manufacturers to provide EVs in shared factories to skirt tariff prices in Europe, the place the automaker has additionally pledged to ‘carry its passenger automotive sport’.
