The good ju-ju continues at Ford as the company announced they have posted a $2.6-billion profit for the second quarter of 2010. Increased sales, leaner structure, and continued strong reaction to new products are the drivers. Ford will continue to pay down the debt they incurred with the massive line of credit they established in 2006.
If there is one large company in America that gives anyone hope that the whole economic mess can be turned around, Ford is it. They are shooting to beat their own personal profit record of $7.2 billion achieved in 1999. That mark is the largest ever profit for an American car company.
Ford has made many changes to its management and production structure over the last few years and they all appear to be bearing fruit now. Although the company will produce significantly fewer cars than they did in that record year of 1999, they are in the hunt to be more profitable. The only means one thing, a far more efficient business model.
On the enthusiast front, the release of the new 5.0 liter engine has been a big smash. Lots of reports are flooding in that stocker Mustangs are able to flirt with the 12s right off the showroom floor and run deep into them with some decent tires and bolt ons.
The biggest engine launch in some time will come with the addition of the 6.7L “Scorpion” diesel engine which will mark the first ever clean sheet design oil-burner from Ford. The relationship with International, the provider of the vaunted Power Stroke series of engines is drawing to a close. Reliability and performance issues have plagued the last two varieties of the Powerstroke series and Ford is looking to change that with this engine.
Source — The New York Times — Ford Recovery Continues, Profit of 2.6B posted
