Ford 1Q earnings forecast short of estimates

AP News
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Posted: Mar 23, 2017 11:18 AM

DETROIT (AP) — Ford Motor Co. says its first-quarter earnings will be about 50 percent lower than last year because of increasing costs and lower sales.

In a call with investors, the company said it expects to earn between 30 and 35 cents per share in the first quarter. That's down from 68 cents a year ago.

The forecast fell short of analysts' expectations. Analysts polled by FactSet had forecast earnings of 47 cents per share.

Ford's shares fell 1 percent to $11.64 in morning trading.

Ford will release its full first-quarter earnings next month.

Chief Financial Officer Bob Shanks says lower sales and increased costs of engineering electric and self-driving vehicles will impact earnings in the first quarter.

Ford expects to earn $9 billion in 2017, down from $10.4 billion in 2016.