Ford missed Wall Street expectations by a wide margin in the fourth quarter, delivering earnings per share of just $0.13 when analysts expected $0.19. That’s a 32% miss, the worst the company has reported since 2021. It was also the first quarterly earnings miss since 2024. Ford blamed unexpected $900 million in tariff costs, saying those charges hit harder than expected because credits for parts didn’t apply as early as planned. Before that hit, Ford had anticipated $7.7 billion in EBIT for the quarter. The final figure dropped to $6.8 billion. Even though Ford’s automotive revenue hit $42.4 billion, which was slightly above the $41.83 billion consensus, total company revenue fell 5% to $45.9 billion. Ford’s net income collapsed from a $1.8 billion profit in Q4 2024 to a massive $11.1 billion loss in Q4 2025. That’s a swing of $12.9 billion. Diluted EPS turned negative too, going from $0.45 to a brutal loss of $2.77. The margin for net income plunged from 3.8% to -24.1%. Ford’s 2025 performance shows weakness across every major segment On a full-year basis, Ford posted revenue of $187.3 billion, up 1%, but that’s where the improvement stops. The company booked a full-year net loss of $8.2 billion, swinging down from a $5.9 billion profit in 2024. Ford’s diluted EPS for the year collapsed by $3.52, from $1.46 to -2.06. Adjusted EBIT also dropped from $10.2 billion to $6.8 billion, and adjusted free cash flow fell from $6.7 billion to $3.5 billion. Every major business segment showed cracks. Ford Blue, the legacy gas-powered division, saw revenue drop 1% to $101 billion, with EBIT down $2.2 billion to $3.0 billion. Wholesale units slipped 5%. Bronco hit a new sales record, and F-150 and Maverick led hybrid pickup sales, but that wasn’t enough to lift the entire segment. Ford Pro, the commercial unit, lost steam too. Revenue fell to $66.3 billion, while EBIT tumbled by $2.1 billion to $6.8 billion. Margins slid from 13.5% to 10.3%. Super Duty pickups had their strongest year since 2004, and Transit vans posted a record volume, but those high points didn’t stop the bleed. Paid software subscriptions did rise 30% during 2025. Ford Model e, the electric vehicle unit, continued to rack up losses. The segment reported a $4.8 billion EBIT loss, slightly better than 2024’s $5.1 billion loss. Model e revenue jumped to $6.7 billion, up 73%, but margins are still ugly: -72.1%. The company sold 178,000 units, a 69% jump from the prior year, yet still can’t get this business out of the red. Company outlines bigger 2026 targets despite brutal earnings miss Despite everything, Ford laid out a more aggressive plan for 2026. The company expects adjusted EBIT to land between $8 billion and $10 billion, which would be a decent jump from 2025’s $6.8 billion. They also guided for $5 to $6 billion in free cash flow, up from $3.5 billion, and capex to rise to $9.5 to $10.5 billion, including $1.5 billion to ramp Ford Energy. Segment guidance also shows bold projections. Ford Pro is expected to deliver $6.5 to $7.5 billion in EBIT, Ford Blue is targeting $4.0 to $4.5 billion, and Model e is still expected to lose $4.0 to $4.5 billion. Ford Credit, which reported a strong 2025 with $2.6 billion in earnings before taxes (up 55%), is expected to book $2.5 billion in 2026. CEO Jim Farley said, “We made critical strategic decisions that set us up for a stronger future.” CFO Sherry House added, “A disciplined approach to capital efficiency will drive stronger results in 2026 and beyond.” Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free .
