Ford Motor Co. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Ford Motor Co. has filed its Q1 2024 10-Q report detailing financial performance and operational segments.</b>

AI Summary

FORD MOTOR CO (F-PD) filed a Quarterly Report (10-Q) with the SEC on April 25, 2024. Ford Motor Co. filed its quarterly report (10-Q) for the period ending March 31, 2024. The filing covers the first quarter of the fiscal year 2024. Key financial data and operational segments are detailed within the report. The report includes information on common stock and other equity components. Ford Motor Co. is incorporated in Delaware with its principal business address in Dearborn, MI.

Why It Matters

For investors and stakeholders tracking FORD MOTOR CO, this filing contains several important signals. This 10-Q filing provides investors with the latest financial performance data for Ford Motor Co. for the first quarter of 2024, enabling informed investment decisions. The detailed breakdown of segments and financial metrics allows for a deeper understanding of the company's operational health and strategic positioning in the automotive market.

Risk Assessment

Risk Level: medium — FORD MOTOR CO shows moderate risk based on this filing. The filing is a standard quarterly report, which typically contains a mix of positive and negative financial information, making the overall sentiment neutral and the risk level medium.

Analyst Insight

Review the detailed segment performance and key financial metrics in the 10-Q to assess Ford's operational efficiency and profitability trends for Q1 2024.

Key Numbers

• 2024-03-31 — Period End Date (Conformed Period of Report)
• 2024-04-25 — Filing Date (Filed as of Date)
• 3711 — Standard Industrial Classification (SIC Code for Motor Vehicles & Passenger Car Bodies)

Key Players & Entities

• FORD MOTOR CO (company) — Filer name
• 0000037996 (company) — Central Index Key
• DE (company) — State of Incorporation
• MI (company) — State of Business Address
• 3133223000 (company) — Business Phone
• 2024-03-31 (date) — Conformed Period of Report
• 2024-04-25 (date) — Filed as of Date

FAQ

Industry Context

Ford Motor Co. operates within the automotive industry, a sector characterized by cyclical demand, intense competition, and significant capital investment.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to submit regular financial disclosures to the SEC.

What Investors Should Do

1. Analyze Ford's revenue and profitability trends for Q1 2024.
2. Examine the financial health indicators such as debt and cash positions.
3. Review any disclosed risk factors or significant business developments.

Key Dates

• 2024-03-31: Quarter End — End of the reporting period for the 10-Q filing.
• 2024-04-25: Filing Date — Date the 10-Q report was officially filed with the SEC.

Year-Over-Year Comparison

This is the Q1 2024 10-Q filing, providing an update from the previous fiscal year's filings and the Q4 2023 report.

Filing Documents

• f-20240331.htm (10-Q) — 2392KB
• f03312024exhibit101.htm (EX-10.1) — 4KB
• f03312024exhibit102.htm (EX-10.2) — 2KB
• f03312024exhibit311.htm (EX-31.1) — 10KB
• f03312024exhibit312.htm (EX-31.2) — 9KB
• f03312024exhibit321.htm (EX-32.1) — 4KB
• f03312024exhibit322.htm (EX-32.2) — 4KB
• 0000037996-24-000075.txt (&nbsp;) — 12862KB
• f-20240331.xsd (EX-101.SCH) — 59KB
• f-20240331_cal.xml (EX-101.CAL) — 105KB
• f-20240331_def.xml (EX-101.DEF) — 618KB
• f-20240331_lab.xml (EX-101.LAB) — 855KB
• f-20240331_pre.xml (EX-101.PRE) — 747KB
• f-20240331_htm.xml (XML) — 2460KB

- Financial Information

Part I - Financial Information

Financial Statements 3

Item 1 Financial Statements 3 Consolidated Income Statements 3 Consolidated Statements of Comprehensive Income 3 Consolidated Balance Sheets 4 Consolidated Statements of Cash Flows 5 Consolidated Statements of Equity 6 Notes to the Financial Statements 7

Management's Discussion and Analysis of Financial Condition and Results of Operations 34

Item 2 Management's Discussion and Analysis of Financial Condition and Results of Operations 34 Recent Developments 34 Results of Operations 35 Ford Blue Segment 37 Ford Model e Segment 38 Ford Pro Segment 38 Ford Next Segment 40 Ford Credit Segment 40 Corporate Other 43 Interest on Debt 43 Taxes 43 Liquidity and Capital Resources 44 Credit Ratings 53 Outlook 54 Cautionary Note on Forward-Looking Statements 55 Non-GAAP Financial Measures That Supplement GAAP Measures 57 Non-GAAP Financial Measure Reconciliations 59 Supplemental Information 61 Accounting Standards Issued But Not Yet Adopted 64

Quantitative and Qualitative Disclosures About Market Risk 65

Item 3 Quantitative and Qualitative Disclosures About Market Risk 65

Controls and Procedures 65

Item 4 Controls and Procedures 65

- Other Information

Part II - Other Information

Legal Proceedings 66

Item 1 Legal Proceedings 66

Other Information 66

Item 5 Other Information 66

Exhibits 67

Item 6 Exhibits 67 Signature 68

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

ITEM 1. Financial Statements. FORD MOTOR COMPANY AND SUBSIDIARIES CONSOLIDATED INCOME STATEMENTS (in millions, except per share amounts) For the periods ended March 31, 2023 2024 First Quarter (unaudited) Revenues Company excluding Ford Credit $ 39,085 $ 39,890 Ford Credit 2,389 2,887 Total revenues (Note 3) 41,474 42,777 Costs and expenses Cost of sales 34,669 36,476 Selling, administrative, and other expenses 2,506 2,376 Ford Credit interest, operating, and other expenses 2,186 2,700 Total costs and expenses 39,361 41,552 Operating income/(loss) 2,113 1,225 Interest expense on Company debt excluding Ford Credit 308 278 Other income/(loss), net (Note 4) 224 498 Equity in net income/(loss) of affiliated companies 130 167 Income/(Loss) before income taxes 2,159 1,612 Provision for/(Benefit from) income taxes 496 278 Net income/(loss) 1,663 1,334 Less: Income/(Loss) attributable to noncontrolling interests ( 94 ) 2 Net income/(loss) attributable to Ford Motor Company $ 1,757 $ 1,332 EARNINGS/(LOSS) PER SHARE ATTRIBUTABLE TO FORD MOTOR COMPANY COMMON AND CLASS B STOCK (Note 6) Basic income/(loss) $ 0.44 $ 0.33 Diluted income/(loss) 0.44 0.33 Weighted-average shares used in computation of earnings/(loss) per share Basic shares 3,990 3,979 Diluted shares 4,029 4,023 CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (in millions) For the periods ended March 31, 2023 2024 First Quarter (unaudited) Net income/(loss) $ 1,663 $ 1,334 Other comprehensive income/(loss), net of tax (Note 16) Foreign currency translation 493 ( 114 ) Marketable securities 110 ( 8 ) Derivative instruments ( 55 ) 205 Pension and other postretirement benefits 3 27 Total other comprehensive income/(loss), net of tax 551 110 Comprehensive income/(loss) 2,214 1,444 Less: Comprehensive income/(loss) attributable to noncontrolling interests ( 94 ) 2 Comprehensive income/(loss) attributable to Ford Motor Company $ 2,308 $ 1,442 The accompanying notes ar

Financial Statements (continued)

Item 1. Financial Statements (continued) FORD MOTOR COMPANY AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (in millions) December 31, 2023 March 31, 2024 (unaudited) ASSETS Cash and cash equivalents (Note 7) $ 24,862 $ 19,721 Marketable securities (Note 7) 15,309 14,742 Ford Credit finance receivables, net of allowance for credit losses of $ 256 and $ 254 (Note 8) 46,425 44,600 Trade and other receivables, less allowances of $ 64 and $ 59 15,601 18,698 Inventories (Note 9) 15,651 18,632 Other assets 3,633 4,202 Total current assets 121,481 120,595 Ford Credit finance receivables, net of allowance for credit losses of $ 626 and $ 626 (Note 8) 55,650 56,985 Net investment in operating leases 21,384 21,118 Net property 40,821 40,515 Equity in net assets of affiliated companies 5,548 6,336 Deferred income taxes 16,985 16,726 Other assets 11,441 12,066 Total assets $ 273,310 $ 274,341 LIABILITIES Payables $ 25,992 $ 27,384 Other liabilities and deferred revenue (Note 10 and Note 18) 25,870 26,032 Debt payable within one year (Note 12) Company excluding Ford Credit 477 727 Ford Credit 49,192 49,063 Total current liabilities 101,531 103,206 Other liabilities and deferred revenue (Note 10 and Note 18) 28,414 27,724 Long-term debt (Note 12) Company excluding Ford Credit 19,467 19,430 Ford Credit 80,095 80,195 Deferred income taxes 1,005 889 Total liabilities 230,512 231,444 EQUITY Common Stock, par value $ 0.01 per share ( 4,105 million shares issued of 6 billion authorized) 41 41 Class B Stock, par value $ 0.01 per share ( 71 million shares issued of 530 million authorized) 1 1 Capital in excess of par value of stock 23,128 23,125 Retained earnings 31,029 31,019 Accumulated other comprehensive income/(loss) (Note 16) ( 9,042 ) ( 8,932 ) Treasury stock ( 2,384 ) ( 2,384 ) Total equity attributable to Ford Motor Company 42,773 42,870 Equity attributable to noncontrolling interests 25 27 Total equity 42,798 42,897 Total liabi

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) For the periods ended March 31, 2023 2024 First Quarter (unaudited) Cash flows from operating activities Net income/(loss) $ 1,663 $ 1,334 Depreciation and tooling amortization 1,897 1,881 Other amortization ( 272 ) ( 376 ) Provision for credit and insurance losses 83 126 Pension and other postretirement employee benefits ("OPEB") expense/(income) (Note 11) 303 166 Equity method investment dividends received in excess of (earnings)/losses and impairments ( 7 ) ( 154 ) Foreign currency adjustments ( 94 ) ( 12 ) Net realized and unrealized (gains)/losses on cash equivalents, marketable securities, and other investments (Note 4) 51 29 Stock compensation 100 126 Provision for/(Benefit from) deferred income taxes 17 ( 28 ) Decrease/(Increase) in finance receivables (wholesale and other) ( 656 ) ( 1,121 ) Decrease/(Increase) in accounts receivable and other assets ( 732 ) ( 806 ) Decrease/(Increase) in inventory ( 1,967 ) ( 3,154 ) Increase/(Decrease) in accounts payable and accrued and other liabilities 2,323 3,333 Other 91 41 Net cash provided by/(used in) operating activities 2,800 1,385 Cash flows from investing activities Capital spending ( 1,780 ) ( 2,094 ) Acquisitions of finance receivables and operating leases ( 12,543 ) ( 14,829 ) Collections of finance receivables and operating leases 11,170 11,238 Purchases of marketable securities and other investments ( 2,545 ) ( 2,985 ) Sales and maturities of marketable securities and other investments 4,413 3,579 Settlements of derivatives ( 41 ) ( 184 ) Capital contributions to equity method investments ( 699 ) ( 639 ) Other 48 34 Net cash provided by/(used in) investing activities ( 1,977 ) ( 5,880 ) Cash flows from financing activities Cash payments for dividends and dividend equivalents ( 3,193 ) ( 1,326 ) Purchases of common stock — — Net changes i

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF EQUITY (in millions, unaudited) Equity Attributable to Ford Motor Company Capital Stock Cap. in Excess of Par Value of Stock Retained Earnings Accumulated Other Comprehensive Income/(Loss) (Note 16) Treasury Stock Total Equity Attributable to Non-controlling Interests Total Equity Balance at December 31, 2022 $ 42 $ 22,832 $ 31,754 $ ( 9,339 ) $ ( 2,047 ) $ 43,242 $ ( 75 ) $ 43,167 Net income/(loss) — — 1,757 — — 1,757 ( 94 ) 1,663 Other comprehensive income/(loss), net — — — 551 — 551 — 551 Common Stock issued (a) — 57 — — — 57 — 57 Treasury stock/other — — — — — — — — Dividends and dividend equivalents declared ($ 0.80 per share) (b) — — ( 3,241 ) — — ( 3,241 ) — ( 3,241 ) Balance at March 31, 2023 $ 42 $ 22,889 $ 30,270 $ ( 8,788 ) $ ( 2,047 ) $ 42,366 $ ( 169 ) $ 42,197 Balance at December 31, 2023 $ 42 $ 23,128 $ 31,029 $ ( 9,042 ) $ ( 2,384 ) $ 42,773 $ 25 $ 42,798 Net income/(loss) — — 1,332 — — 1,332 2 1,334 Other comprehensive income/(loss), net — — — 110 — 110 — 110 Common Stock issued (a) — ( 3 ) — — — ( 3 ) — ( 3 ) Treasury stock/other — — — — — — — — Dividends and dividend equivalents declared ($ 0.33 per share) (b) — — ( 1,342 ) — — ( 1,342 ) — ( 1,342 ) Balance at March 31, 2024 $ 42 $ 23,125 $ 31,019 $ ( 8,932 ) $ ( 2,384 ) $ 42,870 $ 27 $ 42,897 __________ (a) Includes impact of share-based compensation. (b) Dividends and dividend equivalents declared for Common and Class B Stock. In the first quarter of 2023 and 2024, in addition to a regular dividend of $ 0.15 per share, we declared a supplemental dividend of $ 0.65 per share and $ 0.18 per share, respectively. The accompanying notes are part of the consolidated financial statements. 6

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS Table of Contents Footnote Page Note 1 Presentation 8 Note 2 New Accounting Standards 8 Note 3 Revenue 9 Note 4 Other Income/(Loss) 10 Note 5 Income Taxes 10 Note 6 Capital Stock and Earnings/(Loss) Per Share 10 Note 7 Cash, Cash Equivalents, and Marketable Securities 11 Note 8 Ford Credit Finance Receivables and Allowance for Credit Losses 14 Note 9 Inventories 18 Note 10 Other Liabilities and Deferred Revenue 18 Note 11 Retirement Benefits 19 Note 12 Debt 20 Note 13 Derivative Financial Instruments and Hedging Activities 21 Note 14 Employee Separation Actions and Exit and Disposal Activities 23 Note 15 Acquisitions and Divestitures 24 Note 16 Accumulated Other Comprehensive Income/(Loss) 25 Note 17 Variable Interest Entities 26 Note 18 Commitments and Contingencies 27 Note 19 Segment Information 30 7

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 1. PRESENTATION For purposes of this report, "Ford," the "Company," "we," "our," "us," or similar references mean Ford Motor Company, our consolidated subsidiaries, and our consolidated VIEs of which we are the primary beneficiary, unless the context requires otherwise. We also make reference to Ford Motor Credit Company LLC, herein referenced to as Ford Credit. Our consolidated financial statements are presented in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information, instructions to the Quarterly Report on Form 10-Q, and Rule 10-01 of Regulation S-X. In the opinion of management, these unaudited financial statements include all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of our results of operations and financial condition for the periods, and at the dates, presented. The results for interim periods are not necessarily indicative of results that may be expected for any other interim period or for the full year. Reference should be made to the financial statements contained in our Annual Report on Form 10-K for the year ended December 31, 2023 ("2023 Form 10-K Report"). NOTE 2. NEW ACCOUNTING STANDARDS Adoption of New Accounting Standards We adopted the following Accounting Standards Updates ("ASUs") during 2024, none of which had a material impact to our consolidated financial statements or financial statement disclosures: ASU Effective Date 2023-01 Leases: Common Control Arrangements January 1, 2024 2023-02 Investments – Equity Method and Joint Ventures - Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method January 1, 2024 Accounting Standards Issued But Not Yet Adopted ASU 2023-07, Segment Reporting, Improvements to Reportable Segment Disclosures. In November 2023, the Financial Accoun

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 3. REVENUE The following tables disaggregate our revenue by major source for the periods ended March 31 (in millions): First Quarter 2023 Company excluding Ford Credit Ford Credit Consolidated Vehicles, parts, and accessories $ 37,927 $ — $ 37,927 Used vehicles 469 — 469 Services and other revenue (a) 645 17 662 Revenues from sales and services 39,041 17 39,058 Leasing income 44 1,049 1,093 Financing income — 1,301 1,301 Insurance income — 22 22 Total revenues $ 39,085 $ 2,389 $ 41,474 First Quarter 2024 Company excluding Ford Credit Ford Credit Consolidated Vehicles, parts, and accessories $ 38,645 $ — $ 38,645 Used vehicles 510 — 510 Services and other revenue (a) 688 20 708 Revenues from sales and services 39,843 20 39,863 Leasing income 47 1,017 1,064 Financing income — 1,819 1,819 Insurance income — 31 31 Total revenues $ 39,890 $ 2,887 $ 42,777 __________ (a) Includes extended service contract revenue. The amount of consideration we receive and revenue we recognize on our vehicles, parts, and accessories varies with changes in return rights, marketing incentives we offer to our customers and their customers, and other pricing adjustments. Estimates of marketing incentives and other pricing adjustments are based on our expectations of retail and fleet sales volumes, mix of products to be sold, competitor actions, and incentive programs to be offered. Customer acceptance of products and programs, as well as other market conditions, will impact these estimates. As a result of changes in our estimate of variable consideration (e.g., marketing incentives), we recorded a decrease related to revenue recognized in prior periods of $ 178 million and $ 707 million in the first quarter of 2023 and 2024, respectively. We had a balance of $ 4.8 billion and $ 4.9 billion of unearned revenue associated primarily with out

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 4. OTHER INCOME/(LOSS) The amounts included in Other income/(loss), net for the periods ended March 31 were as follows (in millions): First Quarter 2023 2024 Net periodic pension and OPEB income/(cost), excluding service cost (Note 11) $ ( 165 ) $ ( 24 ) Investment-related interest income 348 410 Interest income/(expense) on income taxes ( 4 ) ( 14 ) Realized and unrealized gains/(losses) on cash equivalents, marketable securities, and other investments ( 51 ) ( 29 ) Gains/(Losses) on changes in investments in affiliates 4 7 Royalty income 103 124 Other ( 11 ) 24 Total $ 224 $ 498 NOTE 5. INCOME TAXES For interim tax reporting, we estimate one single effective tax rate for tax jurisdictions not subject to a valuation allowance, which is applied to the year-to-date ordinary income/(loss). Tax effects of significant unusual or infrequently occurring items are excluded from the estimated annual effective tax rate calculation and recognized in the interim period in which they occur. NOTE 6. CAPITAL STOCK AND EARNINGS/(LOSS) PER SHARE Earnings/(Loss) Per Share Attributable to Ford Motor Company Common and Class B Stock Basic and diluted earnings/(loss) per share were calculated using the following (in millions): First Quarter 2023 2024 Net income/(loss) attributable to Ford Motor Company $ 1,757 $ 1,332 Basic and Diluted Shares Basic shares (average shares outstanding) 3,990 3,979 Net dilutive options, unvested restricted stock units, unvested restricted stock shares, and convertible debt 39 44 Diluted shares 4,029 4,023 10

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 7. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES The fair values of cash, cash equivalents, and marketable securities measured at fair value on a recurring basis were as follows (in millions): December 31, 2023 Fair Value Level Company excluding Ford Credit Ford Credit Consolidated Cash and cash equivalents U.S. government 1 $ 2,320 $ 912 $ 3,232 U.S. government agencies 2 2,075 625 2,700 Non-U.S. government and agencies 2 699 276 975 Corporate debt 2 1,617 101 1,718 Total marketable securities classified as cash equivalents 6,711 1,914 8,625 Cash, time deposits, and money market funds 7,493 8,744 16,237 Total cash and cash equivalents $ 14,204 $ 10,658 $ 24,862 Marketable securities U.S. government 1 $ 4,467 $ 207 $ 4,674 U.S. government agencies 2 1,774 49 1,823 Non-U.S. government and agencies 2 2,096 109 2,205 Corporate debt 2 5,807 268 6,075 Equities 1 23 — 23 Other marketable securities 2 353 156 509 Total marketable securities $ 14,520 $ 789 $ 15,309 Restricted cash $ 111 $ 137 $ 248 Cash, cash equivalents, and restricted cash - held for sale $ — $ — $ — March 31, 2024 Fair Value Level Company excluding Ford Credit Ford Credit Consolidated Cash and cash equivalents U.S. government 1 $ 997 $ 86 $ 1,083 U.S. government agencies 2 2,019 — 2,019 Non-U.S. government and agencies 2 699 277 976 Corporate debt 2 — — — Total marketable securities classified as cash equivalents 3,715 363 4,078 Cash, time deposits, and money market funds 7,158 8,485 15,643 Total cash and cash equivalents $ 10,873 $ 8,848 $ 19,721 Marketable securities U.S. government 1 $ 4,085 $ 219 $ 4,304 U.S. government agencies 2 1,850 — 1,850 Non-U.S. government and agencies 2 2,342 83 2,425 Corporate debt 2 5,288 261 5,549 Equities 1 25 — 25 Other marketable securities 2 438 151 589 Total marketable securities $ 14,028 $ 714 $ 1

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 7. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES (Continued) The cash equivalents and marketable securities accounted for as available-for-sale ("AFS") securities were as follows (in millions): December 31, 2023 Fair Value of Securities with Contractual Maturities Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Within 1 Year After 1 Year through 5 Years After 5 Years Company excluding Ford Credit U.S. government $ 4,458 $ 6 $ ( 66 ) $ 4,398 $ 2,172 $ 2,216 $ 10 U.S. government agencies 2,053 4 ( 62 ) 1,995 490 1,487 18 Non-U.S. government and agencies 1,948 1 ( 75 ) 1,874 587 1,275 12 Corporate debt 7,433 27 ( 67 ) 7,393 2,830 4,558 5 Other marketable securities 322 2 ( 4 ) 320 — 247 73 Total $ 16,214 $ 40 $ ( 274 ) $ 15,980 $ 6,079 $ 9,783 $ 118 March 31, 2024 Fair Value of Securities with Contractual Maturities Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Within 1 Year After 1 Year through 5 Years After 5 Years Company excluding Ford Credit U.S. government $ 4,076 $ — $ ( 64 ) $ 4,012 $ 1,931 $ 2,071 $ 10 U.S. government agencies 1,973 — ( 63 ) 1,910 425 1,467 18 Non-U.S. government and agencies 1,982 — ( 71 ) 1,911 626 1,273 12 Corporate debt 5,304 15 ( 59 ) 5,260 698 4,554 8 Other marketable securities 408 2 ( 3 ) 407 — 297 110 Total $ 13,743 $ 17 $ ( 260 ) $ 13,500 $ 3,680 $ 9,662 $ 158 Sales proceeds and gross realized gains/losses from the sale of AFS securities for the periods ended March 31 were as follows (in millions): First Quarter 2023 2024 Company excluding Ford Credit Sales proceeds $ 1,163 $ 3,719 Gross realized gains 1 2 Gross realized losses 12 8 12

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 7. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES (Continued) The present fair values and gross unrealized losses for cash equivalents and marketable securities accounted for as AFS securities that were in an unrealized loss position, aggregated by investment category and the length of time that individual securities have been in a continuous loss position, were as follows (in millions): December 31, 2023 Less than 1 Year 1 Year or Greater Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Company excluding Ford Credit U.S. government $ 619 $ ( 2 ) $ 2,735 $ ( 64 ) $ 3,354 $ ( 66 ) U.S. government agencies 283 ( 1 ) 1,068 ( 61 ) 1,351 ( 62 ) Non-U.S. government and agencies 67 — 1,654 ( 75 ) 1,721 ( 75 ) Corporate debt 2,608 ( 2 ) 2,192 ( 65 ) 4,800 ( 67 ) Other marketable securities 26 — 122 ( 4 ) 148 ( 4 ) Total $ 3,603 $ ( 5 ) $ 7,771 $ ( 269 ) $ 11,374 $ ( 274 ) March 31, 2024 Less than 1 Year 1 Year or Greater Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Company excluding Ford Credit U.S. government $ 1,683 $ ( 13 ) $ 2,259 $ ( 51 ) $ 3,942 $ ( 64 ) U.S. government agencies 829 ( 4 ) 1,002 ( 59 ) 1,831 ( 63 ) Non-U.S. government and agencies 343 ( 3 ) 1,527 ( 68 ) 1,870 ( 71 ) Corporate debt 1,653 ( 7 ) 1,780 ( 52 ) 3,433 ( 59 ) Other marketable securities 85 — 115 ( 3 ) 200 ( 3 ) Total $ 4,593 $ ( 27 ) $ 6,683 $ ( 233 ) $ 11,276 $ ( 260 ) We determine credit losses on AFS debt securities using the specific identification method. During the first quarter of 2024, we did not recognize any credit loss. The unrealized losses on securities are due to changes in interest rates and market liquidity. Cash, Cash Equivalents, and Restricted Cash Cash, cash equivalents, and restricted cash, as reported in the consolidated stateme

Financial Statements (Continued)

Item 1. Financial Statements (Continued) FORD MOTOR COMPANY AND SUBSIDIARIES NOTES TO THE FINANCIAL STATEMENTS NOTE 8. FORD CREDIT FINANCE RECEIVABLES AND ALLOWANCE FOR CREDIT LOSSES Ford Credit manages finance receivables as "consumer" and "non-consumer" portfolios. The receivables are generally secured by the vehicles, inventory, or other property being financed. Finance receivables are recorded at the time of origination or purchase at fair value and are subsequently reported at amortized cost, net of any allowance for credit losses. For all finance receivables, Ford Credit defines "past due" as any payment, including principal and interest, that is at least 31 days past the contractual due date. Ford Credit finance receivables, net were as follows (in millions): December 31, 2023 March 31, 2024 Consumer Retail installment contracts, gross $ 73,825 $ 75,787 Finance leases, gross 7,793 7,999 Retail financing, gross 81,618 83,786 Unearned interest supplements ( 3,344 ) ( 3,868 ) Consumer finance receivables 78,274 79,918 Non-Consumer Dealer financing 24,683 22,54

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