Ford Motor posted “better-than-expected” monetary ends in Europe for the primary quarter, because the area returned to profitability following three quarters of losses, the corporate stated.

The $207 million internet revenue (197 million euros) in Europe got here regardless of a decline in car gross sales as a result of provide chain disruptions, CFO John Lawler informed analysts on an earnings name Wednesday. 

“It was good to see that though we had been hit by that, Europe did submit a better-than-expected quarter for us,” Lawler stated.

Ford wholesales (gross sales to sellers) in Europe for the quarter fell 9 p.c to 254,000 in contrast with 278,000 for a similar quarter final yr, figures confirmed. 

Income decreased by a smaller quantity to $6.9 billion in contrast with $7.1 billion the yr earlier than, as increased common costs partly offset the gross sales drop. 

Earnings nearly halved, nonetheless, for a margin of three p.c, in contrast with 4.8 p.c for a similar interval in 2021, Ford figures confirmed. 

Ford misplaced cash within the area for the earlier three quarters. 

“The underlying trajectory of our enterprise [in Europe] continues to enhance,” Ford CEO Jim Farley stated on the decision.

Total, Ford posted a first-quarter internet lack of $3.1 billion attributable to a drop within the worth of its stake in electrical truck maker Rivian. 

Ford was worthwhile earlier than accounting for the Rivian funding, although adjusted earnings fell 41 p.c from a yr earlier to $2.3 billion earlier than curiosity and taxes. Its adjusted revenue margin was 6.7 p.c, down 4.1 share factors.

Farley stated that Ford in Europe “is constructing momentum towards a totally electrical future” because it launches the E-Transit massive electrical van within the area.

The corporate will a launch three extra new electrical passenger autos and 4 new electrical industrial autos by the tip of 2024, with plans to promote greater than 600,000 electrical autos a yr by the tip of 2026.