Title : Earnings Season, 1Q19 -- Making America Great
link : Earnings Season, 1Q19 -- Making America Great
Earnings Season, 1Q19 -- Making America Great
I don't know if folks are paying attention, but the earnings season has been incredible. A few companies have had some poor results but for the most part, not only have earnings been good, but they have been very, very, very good.And some of the commentary -- I love it.
For example, Ford. Link here.
People have driven a Ford truck lately.
And that — along with progress on a deep cost-cutting initiative by Ford CEO Jim Hackett — will likely leave investors encouraged on Ford’s outlook, finally.
The maker of the popular F-Series line of trucks said Tuesday it gained market share and grew revenue in its pickup truck category in the first quarter.
With F-Series pickups being some of the highest margin products rolling off Ford’s assembly lines, it helped power profits in North America $300 million higher from a year ago. Strength in the equally high margin SUV category also supported Ford’s North American profits.
Ford benefited in the quarter from the introduction of the newly redesigned mid-size Ranger pickup. The momentum for Ford is a kick to the gut of rivals General Motors and Fiat, both of which released new designs for their full-size pickups last year in an effort to dethrone the F-Series. Ford plans to release a new Super Duty pickup truck before year end. An all-new F-150 will debut in 2020 along with a hybrid option.
Much more at the link.
By the way, we've discussed this before: the importance of Ford getting back into other pickup niches. Not everyone can afford a $75,000 pickup. Nissan has every niche covered.
By the way, wasn't the tax depreciation benefit accelerated under Trump? I really don't know. I've long forgotten but I seem to recall that the F-150 bought for work could be expensed (for tax purposes) in one year. I could be very, very wrong on that, but I do know that a mom-and-pop roofer working out of their residential home just down the street have as many as five brightly-colored F-150s in front of their house, in their driveway, and in their garage every so often. Must be holding a business meeting.
Folks may want to compare Ford's execution of their business strategy with that of Musk Melon.
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