What does this obscure headline mean?
It means that Ford posted a profit in Europe. The news emerged as part of a general wash of favourable financial results. “We promised a breakthrough year in 2015, and we delivered. In 2016, we will continue to build on our strengths and accelerate our pace of progress even further, while transforming Ford into both an auto and a mobility company and creating value for all of our stakeholders,” said Mark Fields, Ford President and CEO.
Among the eleven bullet points, the bit about Europe was mid-way down and came with no further elucidation. I went to Ford’s EU news portal and was introduced to Olivier Pla. Then I had the bright idea to Mark Fields´ report itself and found that the full year numbers were $259 million pre-tax. Gosh. How many Fiestas does it take to make that kind of profit? The difference between red and black must be down to some customers checking some options boxes. Ford’s profits in Europe are not steady as this article shows and this one too.
The bit about investment in electric vehicles was reported again. And Lincoln has had its best year since 2008. Low base. All in all, Ford made lots and lots of money. I wouldn’t be at all surprised if Ford makes a loss in Europe because their accounting system is set up that way. It seems to be what GM does with Opel.
Hard-working Bart Demant at Left-Lane.com points out it was a bumper year for Euro car sales. Ford had to do well, didn’t they?