Ford Misses on Revenues but Beats on EPS

Ford (NYSE: F  ) reported earnings on Nov. 2. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Ford missed estimates on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped slightly and GAAP earnings per share stayed the same.

Margins increased across the board.

Revenue details
Ford recorded revenue of $30.20 billion. The 14 analysts polled by S&P Capital IQ expected revenue of $31.11 billion on the same basis. GAAP reported sales were 2.6% lower than the prior-year quarter's $33.05 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.40. The 20 earnings estimates compiled by S&P Capital IQ anticipated $0.30 per share. GAAP EPS of $0.41 were the same as the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 17.6%, 340 basis points better than the prior-year quarter. Operating margin was 8.6%, 310 basis points better than the prior-year quarter. Net margin was 5.1%, 10 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $33.29 billion. On the bottom line, the average EPS estimate is $0.25.

Next year's average estimate for revenue is $126.37 billion. The average EPS estimate is $1.29.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 9,552 members out of 11,943 rating the stock outperform, and 2,391 members rating it underperform. Among 1,822 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,427 give Ford a green thumbs-up, and 395 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ford is outperform, with an average price target of $13.82.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of Ford. Motley Fool newsletter services recommend Ford. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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