🚗 🚙 Turn your trusty old car into trustworthy journalism Learn more

Could Ford turn a profit this quarter?

Alisa Roth Oct 30, 2009
HTML EMBED:
COPY

Could Ford turn a profit this quarter?

Alisa Roth Oct 30, 2009
HTML EMBED:
COPY

TEXT OF STORY

Ford Motors will show its quarterly earnings next week. And Marketplace’s Alisa Roth says the company might report a pleasant surprise.


Alisa Roth: It hasn’t been a year since Alan Mulally, the CEO of Ford, said he didn’t need help from the government after all. And it’s been one of the worst years for car sales in a long time. But Ford could turn a profit this quarter.

Alan Baum is an auto industry analyst in Michigan. And here’s the main reason:

Alan Baum: The obvious thing is this includes the period of Cash for Clunkers.

But you have give Ford some credit: The company has also been trimming costs in a bunch of different ways. They’ve been doing everything from cutting production to renegotiating contracts. And people are buying Fords. Baum says the company’s luring buyers the old fashioned way.

BAUM: They’re putting out products people want, they have new products in the marketplace, they are adding features that people want.

David Silver follows the auto business at Wall Street Strategies. It’s a research company.

David Silver: It’s interesting. You know, that’s probably the most optimistic view I’ve seen.

He says Ford’s situation is improving. He says we might see a profit this quarter. But the company won’t truly recover until next year.

I’m Alisa Roth for Marketplace.

There’s a lot happening in the world.  Through it all, Marketplace is here for you. 

You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible. 

Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.