Ford shares fell more than 10% in after-hours trading on Wednesday after the company reported quarterly profit that fell well short of Wall Street expectations and posted another $1 billion loss on its electric vehicle business.Ford earned $1.8 million, or 46 cents a share, in the second quarter, compared with $1.9 million, or 47 cents a share, a year earlier.
Adjusted for one-time items, the automaker earned 47 cents per share. Analysts polled by FactSet expected Ford to report adjusted earnings of 68 cents per share.
Ford said the results included a $1.1 billion EBIT loss for its electric vehicle division, as "first-generation electric vehicles face continued industry-wide pricing pressure and lower wholesale prices."
The company said revenue rose 6% to $47.8 billion, in line with consensus expectations, benefiting from "momentum" from "record" sales of the new F-150 pickup truck and Transit commercial van.
Ford maintained its forecast that its electric vehicle business will lose $5 billion to $5.5 billion this year "due to continued pricing pressure and investments in next-generation electric vehicles," the company said.
Tesla Inc and General Motors Co reported second-quarter results on Tuesday. General Motors' earnings beat expectations and didn't rise enough to boost the company's stock price, largely because of investor concerns about underperforming the market, while Tesla gave Wall Street mixed quarterly results, leaving little to boost the stock in the short term.
Ford shares have gained about 12% so far this year, while the S&P 500 has gained about 14%.