Ford Optimistic About Europe Progress image

Ford is more optimistic about the situation in Europe than GM.

Ford of Europe President Stephen Odell said earlier this month that auto industry in Europe might have hit the bottom.

“We’re not predicting any upturn yet, but there are certainly some good indications,” he said.

Daimler expects a gradual improvement of the market in the following six months of the year, while Morgan Stanley analyst Adam Jonas said that Europe looks like it has hit the bottom and that he expects it to reach the breakeven level no sooner than mid-decade.

GM CFO Dan Ammann said that he sees the market reach a seasonal decline during the second half of the year and that GM is not making any forecasts for its bottom line in the region.

During the first six months of the year Ford’s profit was $1.2 billion, including $177 made in Asia. The automaker managed to reach positive results even in the crisis hit Europe, thanks to its strategy to lower its forecasted full-year loss to $1.8 billion from $2 billion.

But in the second quarter Ford lost $348 million in the European market, which still represents an improvement of $56 million compared with 2012.

Source: Autonews