What Investors Need to Know About Ford's Less-Than-Impressive Month in Europe
Despite turning profits over the past couple of years in Europe, which followed years of and billions in losses, Ford Motor Company (NYSE: F) is again facing serious headwinds overseas. Brexit impacts are crippling the currency exchange as well as U.K. pricing. Rising commodity costs are also weighing on the bottom line, and launch effects of the all-new Fiesta are hindering its market share. All in all, these headwinds contributed to Ford's $379 million pre-tax profit decline during the second quarter. Unfortunately, a look at Ford's July sales data in Europe shows sales aren't yet rebounding.
Before we get to the major takeaways, let's take a gander at the headline figures. Ford's total vehicle sales slipped 4.8% from the prior year and failed to break 100,000 units during July by a modest 100 vehicles. That weighed on its market share, which dropped 60 basis points down to 7.4% in its traditional 20 European markets (Euro 20).
Ford's 2017 Fiesta ST. Image source: Ford Motor Company.
Source: Fool.com
Ford Motor Co. Stock
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