≡ Menu

Advertisement


Ford Revenue And Sales Breakdown 2022

Ford River Rouge Complex, Dearborn, MI. Source: Flickr

Ford Motor Company (NYSE:F), a leading automobile company in the U.S. and also globally, has annual sales reaching more than $136 billion in fiscal 2021.

Ford Motor specializes not only in the design of vehicles but also in the manufacturing as well as marketing and servicing of a full line of Ford and Lincoln’s vehicles.

In this context, Ford produces a variety of cars, trucks and SUVs.

Ford brands include Fiesta, Fusion, GT and Mustang while Lincoln brands include MKZ and Continental.

While Ford Motors is well known for its gas-guzzlers such as the F-150 pickups, the company is now going all-in into the electric vehicle space, investing heavily in the design of electric vehicles and electric batteries, hoping to get a slice of the growing EV market.

In this article, we will look at several of Ford’s revenue metrics, including the total revenue and projected total revenue for 2022, automotive revenue and projected automotive revenue for 2022, revenue breakdown by region, revenue breakdown by segment as well as revenue growth rates.

Let’s start with the following topics!

Ford’s Total Revenue By Year

Ford's total revenue by year

Ford’s total revenue by year

* Ford’s total revenue by year is extracted from the company’s earnings releases.
* Projected revenue for fiscal 2022 is calculated by the author based on the guidance provided by Ford Motors.
* Ford’s fiscal year begins on Jan 1 and ends on Dec 31.

Ford Motors is projected to earn an estimated revenue of $153 billion for fiscal 2022, a rise of 12% from fiscal 2021.

This revenue estimate is based on Ford Motors’ guidance provided in the 2022 3Q earnings release.

Ford projected that it will earn $11.5 billion in adjusted EBIT in fiscal 2022, an increase of 15% from fiscal 2021.

Based on an adjusted EBIT margin of around 7.5%, Ford’s total revenue will come in at $153 billion for fiscal 2022.

Ford’s Automotive Revenue By Year

Ford's annual automotive revenue

Ford’s annual automotive revenue

* Ford’s automotive revenue by year is extracted from the company’s earnings releases.
* Projected revenue for fiscal 2022 is calculated by the author based on the guidance provided by Ford Motors.
* Ford’s fiscal year begins on Jan 1 and ends on Dec 31.

Similarly, Ford’s automotive revenue is projected to increase to $142 billion in fiscal 2022, up 12% from fiscal 2021.

The automotive revenue estimate is based on Ford’s automotive EBIT which comes in at nearly $8.5 billion USD in fiscal 2022 and a projected 6% automotive EBIT margin.

Ford’s Total Revenue By Quarter

Ford's total revenue

Ford’s total revenue

* Toal revenue by quarter in the chart is presented on a TTM basis.
* TTM figures are calculated based on the sum of the quarterly results on a trailing 12-month or 4-quarter basis.
* Ford’s fiscal year begins on Jan 1 and ends on Dec 31.

Ford’s total revenue is the sum of all revenue segments, including those from the automotive, Ford Credit and Mobility segments.

As seen in the chart, since fiscal 2020, Ford’s total revenue has been on a rising trend, with fiscal 2022 being the best year when revenue topped record highs on a TTM basis.

As of 3Q 2022, Ford’s total revenue reached as much as $152 billion on a TTM basis, representing a year-on-year growth rate of 13%.

Ford’s sales bounced back significantly in fiscal 2021 and 2022, driven primarily by higher vehicle demand for large and mid-size trucks and SUVs, as air travel is still pretty much at a standstill during the COVID age.

Ford’s Revenue Breakdown By Segment

Ford's revenue by segment

Ford’s revenue by segment

* Revenue by segment in the chart is presented on a TTM basis.
* TTM figures are calculated based on the sum of the quarterly results on a trailing 12-month or 4-quarter basis.
* Ford’s fiscal year begins on Jan 1 and ends on Dec 31.

Ford’s reportable business segments include Automotive, Ford Credit, and Mobility.

According to the chart, Ford’s automotive is the largest among all business segments, contributing on average, 90% of sales to total revenue.

Ford Credit comes in second and contributes roughly 9% of sales to total revenue.

Ford Mobility’s revenue contribution has been negligible at less than 1% of total revenue.

While Ford’s automotive has been the largest revenue contributor, it has been decreasing on a TTM basis prior to 2021.

However, post-2021, automotive revenue has been on a rise, reaching as much as $142 billion on a TTM basis as of 3Q 2022, up 15% from the same quarter a year ago.

Ford attributed the early decline in automotive sales to the COVID-19 outbreak which had led to most of its manufacturing facilities all over the world being temporarily shuttered.

However, Ford’s automotive sales were seen bouncing back in fiscal 2021, driven largely by the pent-up demand for the company’s large and mid-size SUVs and trucks.

On a different ground, Ford Credit’s revenue has been on a slow decline, which is in the opposite direction of that of the automotive segment.

As of 3Q 2022, Ford Credit’s revenue decreased 13% year-on-year to only $9.1 billion on a TTM basis, a record low for this business segment.

Unlike the automotive segment, we have yet to see a recovery in Ford Credit’s revenue in 2022.

Ford’s Automotive Revenue By Region

Ford's automotive revenue by region

Ford’s automotive revenue by region

* Revenue by region in the chart is presented on a TTM basis.
* TTM figures are calculated based on the sum of the quarterly results on a trailing 12-month or 4-quarter basis.
* Ford’s fiscal year begins on Jan 1 and ends on Dec 31.

Ford’s reportable regions include North America, Europe, South America, China, and the International Market Group (IMG).

Based on the chart, North America contributed the largest portion at more than $100 billion on a TTM basis to Ford, taking up nearly 70% of the total automotive revenue in fiscal 2022.

Ford Europe comes in second at $25 billion reported in fiscal 3Q 2022, contributing around 19% of sales to Ford’s automotive revenue.

Automotive revenue from South America and China seems negligible compared to that of North America and Europe.

While Ford’s North American and Europe automotive revenues have declined, the downtrend has reversed in 2021 and automotive revenue was seen moving higher post-2020.

As of fiscal 2022 Q3, Ford’s automotive revenue in North America reached $103.5 billion, a record high since 2020 and up 23% from a year ago.

Similarly, Ford’s automotive revenue from Europe reached $25.2 billion as of fiscal 2022 Q3, representing a year-on-year decline of 2.5%.

Ford’s Automotive Revenue By Region – Only South America, China and IMG

Ford's automotive revenue by region (China and South America)

Ford’s automotive revenue by region (China and South America)

* Revenue by region in the chart is presented on a TTM basis.
* TTM figures are calculated based on the sum of the quarterly results on a trailing 12-month or 4-quarter basis.
* Ford’s fiscal year begins on Jan 1 and ends on Dec 31.

To clearly show Ford’s automotive revenues from China, South America, and IMG, I have stripped off revenues from North America and Europe as shown in the chart above

Ford’s IMG or International Market Group is a new business segment that consists of all revenue segments for the rest of the world not mentioned in any of the segments.

As seen, Ford IMG automotive revenue seems to have recovered tremendously in the post-COVID age and reached as much as $8.8 billion in fiscal 3Q 2022 on a TTM basis, a level that was only seen prior to fiscal 2020.

Ford China seems to have done poorly in terms of TTM automotive revenue growth.

In the last 3 years, Ford China’s automotive revenue has been on a downward trend, reaching only $2.0 billion as of fiscal 2022 3Q on a TTM basis, a record low for the company since 2018.

While Ford China’s revenue ticked higher during 4Q 2020, the uptrend did not hold up and was subsequently overpowered by a downtrend.

On the other hand, Ford South America’s automotive revenue seemed to have reversed the downtrend, reaching as much as $3.0 billion USD as of fiscal 2022 Q3.

In short, Ford has done poorly in China in terms of automotive revenue growth.

Ford’s Revenue By Segment YoY Growth Rates

Ford's revenue by segment YoY growth rates

Ford’s revenue by segment YoY growth rates

* Ford’s revenue YoY growth rates come from the author’s own calculations.

According to the chart, Ford reported a 15% and 13% growth rates in automotive and total revenue, respectively, in fiscal 3Q 2022.

However, Ford Credit’s revenue YoY growth rate was still in the red at -13% in fiscal 3Q 2022, a record year-on-year decline in 2022.

In short, Ford’s automotive and total revenue has reversed the decline and has since been going higher.

On the other hand, Ford Credit’s revenue has been on a decline and the downtrend seems to be getting worse.

Ford’s Revenue by Region YoY Growth Rates

Ford's revenue by region YoY growth rates

Ford’s revenue by region YoY growth rates

* Ford’s revenue YoY growth rates come from the author’s own calculations.

Similarly, Ford reported very poor revenue growth across most of the regions as shown in the chart, especially in China.

As seen, Ford North and South America had been the only regions with positive growth rates, notably at 20% in 3Q 2022.

On a long-term basis, Ford’s North and South America automotive revenue has recovered considerably since 2021.

As of 3Q 2022, Ford North America’s automotive revenue grew 23% while Ford South America’s automotive revenue grew 20% year-on-year.

Ford China did poorly throughout the years with negative growth rates reported in most quarterly results.

As of 3Q 2022, Ford China’s automotive revenue declined 27%, one of the worst numbers ever recorded.

Ford Europe’s automotive revenue grew considerably in 2021 but it declined in 2022 to low single digits.

Conclusion

In summary, Ford’s fiscal 2022 total revenue is expected to be much better than that of fiscal 2021, up 12% on a year-over-year basis.

That said, Ford is projected to grow the total revenue to as much as $153 billion, a rise of 12% from 2021.

Similarly, Ford’s automotive revenue also is projected to grow to $142 billion in fiscal 2022, a rise of 12% from 2021.

All in all, revenue decline seems to have reversed in fiscal 2022 and the forecast for fiscal 2022 is expected to exceed the pre-pandemic level.

Has Ford’s stock price reacted to the revenue recovery? Or has it rebounded already?

Whatever it is, 2022 represents one of Ford’s best years after the pandemic.

Still, Ford is a heavily-indebted company at more than $100 billion debt level.

Nevertheless, Ford may survive the crisis or even return stronger in 2022 given the launch of several models, including a few all-electric vehicles.

Ford’s recent electric vehicles bet may just be the perfect catalyst for the company to grow.

For now, just keep your finger crossed and come back to this article every 3 months when it’s updated or sign up for our newsletter for the latest updates!

Credits and References

1. All financial figures in this article were obtained and referenced from Ford’s quarterly and annual filings which are available in the following location: Ford shareholders page.

2. Featured images in this article are used under the creative commons license and sourced from the following websites: Thomas Hawk and Anathea Utley.

Top Statistics For Other Stocks

Disclosure

The content in this article is for informational purposes only and is neither a recommendation nor a piece of financial advice to purchase a stock.

If you find the information in this article helpful, please consider sharing it on social media and also provide a link back to this article from any website so that more articles like this one can be created in the future. Thank you!

{ 0 comments… add one }

Leave a Comment


X

Forgot Password?

Join Us