Ford and General Motors Report Q2 Earnings Exceeding Expectations
Ford Motor Company announced its Q2 2023 earnings on Wednesday, reporting $46.94 billion in sales, up 5% year-over-year, surpassing estimates by 12%. Despite a $800 million impact from tariffs, Ford’s earnings per share (EPS) came in at $0.37, exceeding expectations of $0.34. General Motors, which reported the previous Tuesday, also outperformed with Q2 sales of $47.12 billion, exceeding estimates of $46.24 billion but experiencing a 17% decline in EPS to $2.53.
Q2 Financial Results and Guidance
Ford has reinstated its full-year guidance with adjusted EBIT projected at $6.5-$7.5 billion, while General Motors reaffirms its guidance with expected FY25 adjusted EBIT of $8.2-$10.1 billion. Both companies accounted for significant tariff-related impacts: Ford estimated $2 billion, while GM noted $5 billion.
Stock Performance and Dividend Yield
Year-to-date, Ford shares have increased by 11% to around $11, while GM shares remain flat at approximately $53. Ford’s dividend yield stands at 5.52%, compared to GM’s 1.15%, making it more appealing for income investors.
