Ford Motor posts $1.3 billion net loss in Q2 2026, adjusted profit up 17%, raises guidance
Ford Motor reported a GAAP net loss of $1.327 billion in the second quarter of 2026, driven by a $3.6 billion one-time charge from the BlueOval SK disposal and EV program cancellations. Adjusted EBIT rose 17% year-on-year to $2.5 billion, with margin improving 0.9 percentage points. Revenue was $48.3 billion. The company raised its full-year guidance. Ford Blue profit surged 72%, while US sales fell 10.3% and EV sales dropped 57.4%. Ford plans to launch a new UEV platform in 2027 and targets 20 GWh annual battery storage capacity by end-2027.
Ford Motor released its second-quarter 2026 financial results on July 29. The company reported total revenue of $48.3 billion, slightly down year-on-year. Due to a one-time charge of $3.6 billion from the disposal of the BlueOval SK joint venture and costs related to EV program cancellations, it recorded a GAAP net loss of $1.327 billion. Excluding these one-time items, adjusted earnings before interest and tax (EBIT) was $2.5 billion, up 17% year-on-year, with margin improving 0.9 percentage points. Quarterly adjusted free cash flow was $2.1 billion, and liquidity stood at $43.4 billion.
Based on first-half performance, Ford raised its full-year guidance. Capital expenditure is maintained at $9.5 billion to $10.5 billion, with funds mainly directed toward electric models, in-vehicle intelligent software, and new energy storage businesses.
By business segment, profitability diverged significantly. Ford Blue, the internal combustion engine passenger vehicle business, posted second-quarter EBIT of $1.1 billion, up 72% year-on-year, with high-margin pickup trucks and hybrid models as profit drivers.
Ford's business in China remains in a period of adjustment. Changan Ford sold 28,800 retail units in the first half of 2026, continuing the decline from 2025 when full-year retail sales fell below 100,000 units. Jiangling Ford sold 2,300 retail passenger vehicles in the second quarter, with the Territory as the only main model. Commercial vehicle Ford Transit saw wholesale volume of about 21,000 units in the second quarter, supporting the joint venture's base. Ford has dissolved its independent Model e EV division and shifted to a parallel hybrid and pure electric strategy. The new UEV (Universal Electric Vehicle) platform is planned to launch an affordable electric pickup truck in 2027, which will also serve the China and Europe markets.
In terms of global production synergy, Ford formed a joint venture factory with Geely in Valencia, Spain, sharing a manufacturing base with an annual capacity of 500,000 vehicles. Production is set to begin in 2027, with new models launching in 2028. The project leverages China's new energy supply chain to reduce overseas manufacturing costs. In the US market, second-quarter sales fell 10.3% year-on-year to 549,200 units, while EV sales plummeted 57.4% due to adjustments in federal tax credit policies. Ford is also expanding into energy storage, signing an agreement with EDF's Power Solutions to achieve annual battery storage capacity of 20 gigawatt-hours by the end of 2027.