Ford Motor Company reported fourth-quarter and full-year 2025 results, posting record annual revenue but a sharp net loss driven by significant special items tied largely to electric vehicle (EV) program changes.
The automaker recorded fourth-quarter revenue of $45.9 billion, down 5% year over year, and a net loss of $11.1 billion for the quarter. Adjusted earnings before interest and taxes (EBIT), a key profitability metric, totaled $1.0 billion.
For the full year, Ford delivered record revenue of $187.3 billion, marking its fifth consecutive year of annual revenue growth. However, the company reported a net loss of $8.2 billion, compared with net income of $5.9 billion in 2024. Full-year adjusted EBIT came in at $6.8 billion, down from $10.2 billion a year earlier.
Special Items Weigh on Results
Ford’s results were significantly impacted by special charges, including $10.7 billion related to Model e asset impairments and EV program cancellations, along with other restructuring and joint venture-related costs. Total EBIT special items for 2025 reached $17.4 billion.
CEO Jim Farley said the company made “difficult but critical strategic decisions” during the year, emphasizing improvements in cost control and product quality despite a volatile operating environment.
CFO Sherry House added that Ford remains focused on improving EV profitability, expanding higher-margin counter-cyclical businesses, and strengthening next-generation core products.
Cash Flow Remains Strong
Despite the net loss, Ford generated $21.3 billion in operating cash flow in 2025, up from $15.4 billion in 2024. Adjusted free cash flow totaled $3.5 billion for the year.
At year-end, Ford held nearly $29 billion in cash and approximately $50 billion in total liquidity, providing financial flexibility as it continues restructuring efforts.
Segment Performance Mixed
- Ford Pro, the company’s commercial vehicle business, generated more than $66 billion in revenue and $6.8 billion in EBIT, maintaining a double-digit margin of 10.3%. U.S. Transit vans reached record volume, and Super Duty pickups posted their best year since 2004.
- Ford Blue, which includes internal combustion and hybrid vehicles, delivered $3.0 billion in EBIT on roughly flat revenue of $101 billion. In the U.S., F-150 and Maverick were the top-selling hybrid pickups, while Bronco achieved record sales.
- Ford Model e, the EV division, posted a $4.8 billion EBIT loss, an improvement of $300 million from 2024, as the company continues working to reduce structural costs.
Meanwhile, Ford Motor Credit Company LLC reported $2.6 billion in earnings before taxes, up 55% year over year.
2026 Outlook Signals Improvement
Looking ahead, Ford projects 2026 adjusted EBIT between $8.0 billion and $10.0 billion, with adjusted free cash flow of $5.0 billion to $6.0 billion. Capital expenditures are expected to range from $9.5 billion to $10.5 billion, including about $1.5 billion to begin ramping Ford Energy operations.
Segment guidance for 2026 includes:
- Ford Pro EBIT: $6.5 billion to $7.5 billion
- Ford Blue EBIT: $4.0 billion to $4.5 billion
- Ford Model e loss: $4.0 billion to $4.5 billion
- Ford Credit EBT: Approximately $2.5 billion
Ford plans to report first-quarter 2026 results on April 28.
While 2025 marked a year of heavy restructuring and EV-related charges, management expressed confidence that strategic adjustments and capital discipline will support improved profitability and a targeted 8% adjusted EBIT margin by 2029.
