The second largest US automaker has been experiencing some lackluster quarterly profits, but during the automaker’s annual shareholders meeting chief executive officer Mark Fields pledged a complete liftoff during the second part of the year.
Fields has forecasted that profit on the pretax basis would jump as much as 51 percent for the year as the new aluminum-intensive generation of the best-selling F-150 pickup truck will switch to full production power. Last year net income dropped 56 percent to $3.19 billion as the automaker brought a record of 24 new models to life and international units were plagued by the drops seen in Russia and South America. Thanks to already increasing sales of the new F-150 and larger profits as the customers turned their attention to fully loaded versions, the company said the North American division should have an operating profit earnings margin between 8.5 and 9.5 percent, with full year pretax income of $8.5 to $9.5 billion.
According to Morgan Stanley, the entire F Series, including larger variants such as the F-250 or F-350, astonishingly make up for 90 percent of the automaker’s global automotive profit. After dropping 1.3 percent last year as the F-150 was changing generations, F-Series sales in America grew by 1.4 percent after the first four month of the year. The truck is the top-selling vehicle in the US for 33 straight years as of 2014 and the company expects its aluminum intensive generation to lift even further its market share. Meanwhile, the company also had to cope with lost production output of around 100,000 units as it ceased production of the model at two plants to prepare them for the new generation.