Recent trend in Ford’s revenues
In 3Q17, Ford Motor Company (F) reported revenues of $33.6 billion for its automotive segment, a 0.9% rise from the corresponding quarter of 2016. Its third-quarter revenues were also higher than analysts’ revenue estimates of $32.8 billion for 3Q17. However, Ford’s weaker US sales in 3Q17 continued to disappoint investors for the third consecutive quarter.
Now let’s take a look at what analysts are estimating for Ford’s 4Q17 revenues.
Ford’s 4Q17 revenue estimates
Analysts estimate Ford’s fourth-quarter revenues to be firm at $37 billion, about 2.8% higher than revenues of $36 billion in the same quarter of 2016.
It’s important to pay attention to analysts’ estimates since they could reflect market expectations for the company.
In 2016, Ford faced challenges in some of its international markets, including Europe and other regions of Asia. While its performance in the European market improved in 3Q17, its 5% weaker North American sales volume hurt its revenues.
High expectations from Ford’s European segment and recovery in North America could be some of the key reasons that analysts are estimating Ford’s revenue to increase in the fourth quarter.
In the next part, we’ll find out what analysts are estimating for Ford’s 4Q17 profit margins.