Ford Reported Strong Second Quarter Results image

Ford reported positive sales results for the second quarter and a profit of $2.3 billion in North America.

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.

According to a CNBC report, Ford’s pre-market trading increased 3%, with the increased demand for the F-150 leading to growth in the US market. In Asia, Ford’s sales were up 47%, thanks to the new Kuga (Ford Escape) and the new EcoSport crossover. Analysts predict that Ford’s pre-tax profits will be around $8 billion in 2013, with sales continuing to increase in China, Europe and the US.

According to a report published by Bloomberg, the US automaker shifted $4.78 billion in asset-backed debt in bonds, a move made amid rumors that the Federal Reserve had cut back the bond purchases worth $85 billion per month. Other automakers also chose to sell off debt, including Mercedes and Nissan which shifted almost $1 billion each in bonds linked to auto loans.

Source: Autoblog