During its first-quarter 2013 earnings call, Ford Motor Co. announced first-quarter net income rose 15 percent from a year earlier to $1.61 billion despite its troubles in recession-hit Europe. Ford’s pretax operating loss in Europe widened sharply to $462 million from $149 million in the first quarter of 2012.
The worsening results in Europe primarily reflected higher costs, including those related to restructuring, and higher pension expenses due to lower interest rates, Ford said. Weak industry sales and unfavorable exchange rates also contributed to the loss, the company added.
Ford reaffirmed its forecast for a 2013 loss in Europe of about $2 billion. In 2012, the loss was $1.75 billion.