Ford misses on earnings, as warranty costs move carmaker back near the penalty box

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Ford shares dropped more than 3% in after-hours trading following the disappointing quarterly report.

Ford reported weaker-than-expected earnings on Thursday as warranty costs ate into profits. It also pulled its full-year outlook to deal the fallout from the work stoppage by the United Auto Workers union, which reached a tentative deal with the carmaker on Thursday. Automotive revenue rose about 11% year over year, to $41.18 billion, topping analysts' forecasts of $41.22 billion, according to estimates compiled by LSEG.

James Farley, president and chief executive officer of Ford Motor Co., speaks during a launch event for the 2022 Ford F-150 Lightning all-electric truck at the Rouge Electric Vehicle Center in Dearborn, Michigan, U.S., on Tuesday, April 26, 2022. reported weaker-than-expected earnings on Thursday as warranty costs ate into profits.

 

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