Ford records 2014 pre-tax profit of $6.3 billion

Ford Motor Company today reported a 2014 full-year pre-tax profit of $6.3 billion, the company’s fifth consecutive year of both profitability and positive automotive operating-related cash flow. Company results were driven by profitability in North America, record results in Asia Pacific, and the highest Ford Credit profit since 2011.

Wholesale volume was about equal with 2013, while company revenue declined 2 percent. Ford says it  achieved record market share in Asia Pacific, driven by a record share in China.

The company’s fourth quarter pre-tax profit was $1.1 billion, excluding special items, $197 million lower than a year ago. This was the company’s 22nd consecutive quarter of profitability. Pre-tax special item charges of $1.2 billion primarily reflects a one-time accounting change for Ford’s Venezuela operations, as well as, separation-related actions in Europe and Asia Pacific to support the company’s transformation plans, and charges associated with the settlement of the 2016 Convertible Notes.

The carmaker generated positive automotive operating-related cash flow of $500 million in the fourth quarter. Automotive gross cash was $21.7 billion, which exceeded debt by $7.9 billion, and liquidity remained strong.

“2014 was a solid yet challenging year for Ford — with our investments and a record number of new products launched around the world positioning us for strong growth this year and beyond,” said Mark Fields, Ford president and CEO. “The entire Ford team remains focused on our three priorities of accelerating our One Ford plan, delivering product excellence and driving innovation in every part of the business.”