Order from us for quality, customized work in due time of your choice.
Ford Motor Company of the United States is one of the world’s largest auto companies. Founded in 1903 by Mr. Henry Ford, headquartered in Dearborn, Michigan, USA. Ford’s trademark is a signature font commonly used by founder Henry Ford. Ford Motor Company employs 245,000 people worldwide and manufactures and assembles nearly 100 plants worldwide. Its products are sold in more than 200 countries and regions on 6 continents. Ford ranked fourth in the list of the worlds’ 500 largest companies by Fortune magazine in 2000. On July 19, 2018, the Fortune Global 500 list was released, and Ford Motor Company ranked 22nd.
By analyzing the financial status of Ford Motor Company, it can be seen that gross profit has continued to grow from 9.03% in 2014 to 9.83% in 2017, but fell to 8.11% by 2018. Operating income decreased from 2.53% in 2014 to 2.16% in 2018. The larger amount should be that the income before income tax fell from 3.20% in 2014 to 2.93% in 2018. Net income fell from 5.22% in 2017 to 2.48% in 2018. The percentage of decline in net income is relatively large. Stability has gradually declined since 2017, which is what we do not want to see. If you follow this current financial situation, Ford’s earnings will continue to decline significantly in the next three years, which will be the surface, the company will go out of a large number of decisions, such as layoffs or budget cuts. Either way, we don’t want to see it.
However, from the analysis of the common-scale financial statements, Ford’s stability from 2014 to 2016 is obvious to all. Then we must analyze why we started to go downhill in 2017. From the 2018 financial statements of competitor General Motors, GM delivered a satisfactory financial statement in 2018. It can be seen that the gross profit margin was 1.20% higher than Ford in 2018. Earnings before income tax were actually 3.50% higher than Ford. So why is Ford’s net income in 2018 not exceeding GM? Ford’s sales in the United States are still the first, so the source must be outside the United States, look at the world’s largest car sales market can be analyzed, Ford in the Asian Chinese market and European market sales are not optimistic.
From Ford’s financial statements, Ford fluctuated from 2014 to 2018 and finally continued to fall. In 2018, the largest loss occurred, which may be related to the downturn in the current market, but it is undeniable that Ford’s internal management model must have also made immeasurable mistakes. Whether it is from sales or service quality, it should be improved, or there will be some losses in the next task.
Order from us for quality, customized work in due time of your choice.