According to the AP, Ford reported Q3 net income of $1.83 billion or 23% less than last year. However, revenues only fell by 5% compared to last year with $35.68 billion in sales. That’s far better than what we expected considering the lack of inventory.
The report indicates that Ford expects to see chip improvements (but not completely resolved) between October and December. Ford is also projecting a 10% increase in sales in Q4 over Q3.
The AP also reported that General Motors’ net income for the 3rd quarter was $2.4 billion or a drop of 40%. GM revenues dropped by 25% in Q3 to $26.78 billion. That’s a huge drop in year over year sales for General Motors.
GM also indicated they expect to produce nearly a quarter million fewer cars in the second half of 2021 compared to the first half. Ouch.