Automaker Ford has missed profit estimates in the fourth quarter, reporting earnings per share of 30 cents while Wall Street anticipated 32 cents.
Revenue however at $38.7 billion was a beat compared to the $36.88 billion expected.
According to the Detroit company’s executives, Ford ha been struggling overseas as well as in other fronts. While revenue in North America grew by $1.7 billion, it was down in every other region across the world.
Tariffs cost the automaker $750 million last year and higher commodities prices cut $1.1 billion from the company’s bottom line.
Ford’s CFO Bob Shanks also said to analysts that the company suffered a $750 million loss due to bad foreign exchange rates. It also lost $775 million in costs related to recalls announced last year in North America.
“Certainly it’s been a challenging year,” said CEO Jim Hackett. According to Hackett, “headwinds outside of our control and frankly, poor performance in some parts of the business which we have now taken action to address.”
“While 2018 was a challenging year, we put in place key building blocks to build a more resilient and competitive business model that can thrive no matter the economic environment,” Shanks stated.
Disclaimer: We have no position in Ford Motor Company (NYSE: F) and have not been compensated for this article.