Ford Motor Co. Files 2024 10-K

Ticker: F-PD · Form: 10-K · Filed: Feb 6, 2025 · CIK: 37996

Sentiment: neutral

Topics: 10-K, annual-report, automotive

TL;DR

Ford's 2024 10-K is in, check financials for the year ending Dec 31.

AI Summary

Ford Motor Company filed its 2024 10-K on February 6, 2025, reporting on its fiscal year ending December 31, 2024. The filing details the company's financial performance and operations in the automotive sector. Key financial data and operational aspects are presented for the reporting period.

Why It Matters

This filing provides investors and analysts with a comprehensive overview of Ford's financial health and strategic direction for the past fiscal year, influencing investment decisions.

Risk Assessment

Risk Level: medium — The filing is a standard annual report and does not inherently indicate new risks.

Key Players & Entities

FAQ

What is the filing date of Ford Motor Company's 2024 10-K?

The 2024 10-K for Ford Motor Company was filed on February 6, 2025.

What is the fiscal year end date reported in this 10-K?

The fiscal year end date reported in this 10-K is December 31, 2024.

What is Ford Motor Company's primary industry classification?

Ford Motor Company's Standard Industrial Classification is MOTOR VEHICLES & PASSENGER CAR BODIES [3711].

Where is Ford Motor Company's principal business address?

Ford Motor Company's principal business address is ONE AMERICAN ROAD, DEARBORN, MI 48126.

What is the SEC file number for this Ford Motor Company filing?

The SEC file number for this Ford Motor Company filing is 001-03950.

Filing Stats: 4,577 words · 18 min read · ~15 pages · Grade level 11.8 · Accepted 2025-02-05 20:44:08

Filing Documents

Business 1

Item 1 Business 1 Overview 2 Ford Blue, Ford Model e, and Ford Pro Segment 2 Ford Next Segment 5 Ford Credit Segment 6 Corporate Other 7 Interest on Debt 7 Governmental Standards 7 Human Capital Resources 14

Risk Factors 17

Item 1A Risk Factors 17

Unresolved Staff Comments 31

Item 1B Unresolved Staff Comments 31

Cybersecurity 32

Item 1C Cybersecurity 32

Properties 34

Item 2 Properties 34

Legal Proceedings 35

Item 3 Legal Proceedings 35

Mine Safety Disclosures 37

Item 4 Mine Safety Disclosures 37

Information about our Executive Officers 38

Item 4A Information about our Executive Officers 38 Part II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5 Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 39

[Reserved] 40

Item 6 [Reserved] 40

Management's Discussion and Analysis of Financial Condition and Results of Operations 41

Item 7 Management's Discussion and Analysis of Financial Condition and Results of Operations 41 Key Trends and Economic Factors Affecting Ford and the Automotive Industry 41 Results of Operations - 2024 44 Ford Blue Segment 46 Ford Model e Segment 47 Ford Pro Segment 47 Ford Next Segment 49 Ford Credit Segment 49 Corporate Other 52 Interest on Debt 52 Taxes 52 Results of Operations - 2023 53 Ford Blue Segment 55 Ford Model e Segment 56 Ford Pro Segment 56 Ford Next Segment 57 Ford Credit Segment 57 Corporate Other 58 Interest on Debt 58 Taxes 58 Liquidity and Capital Resources 59 Credit Ratings 71 Outlook 72 Cautionary Note on Forward-Looking Statements 73 Non-GAAP Financial Measures That Supplement GAAP Measures 75 Table of Contents (continued) Non-GAAP Financial Measure Reconciliations 77 2024 Supplemental Financial Information 79 Critical Accounting Estimates 83 Accounting Standards Issued But Not Yet Adopted 90

Quantitative and Qualitative Disclosures About Market Risk 91

Item 7A Quantitative and Qualitative Disclosures About Market Risk 91

Financial Statements and Supplementary Data 94

Item 8 Financial Statements and Supplementary Data 94

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 94

Item 9 Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 94

Controls and Procedures 95

Item 9A Controls and Procedures 95

Other Information 95

Item 9B Other Information 95

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 95

Item 9C Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 95 Part III

Directors, Executive Officers of Ford, and Corporate Governance 96

Item 10 Directors, Executive Officers of Ford, and Corporate Governance 96

Executive Compensation 96

Item 11 Executive Compensation 96

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12 Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 96

Certain Relationships and Related Transactions, and Director Independence 96

Item 13 Certain Relationships and Related Transactions, and Director Independence 96

Principal Accounting Fees and Services 96

Item 14 Principal Accounting Fees and Services 96 Part IV

Exhibits and Financial Statement Schedules 97

Item 15 Exhibits and Financial Statement Schedules 97

Form 10-K Summary 102

Item 16 Form 10-K Summary 102 Signatures 103 Ford Motor Company and Subsidiaries Financial Statements Report of Independent Registered Public Accounting Firm 105 Consolidated Income Statements 108 Consolidated Statements of Comprehensive Income 108 Consolidated Balance Sheets 109 Consolidated Statements of Cash Flows 110 Consolidated Statements of Equity 111 Notes to the Financial Statements 112 Schedule II — Valuation and Qualifying Accounts 177 PART I.

Business

ITEM 1. Business. Ford Motor Company was incorporated in Delaware in 1919. We acquired the business of a Michigan company, also known as Ford Motor Company, which had been incorporated in 1903 to produce and sell automobiles designed and engineered by Henry Ford. We are a global company based in Dearborn, Michigan. With about 171,000 employees worldwide, the Company is committed to helping build a better world, where every person is free to move and pursue their dreams. The Company's Ford+ plan for growth and value creation combines existing strengths, new capabilities, and always-on relationships with customers to enrich experiences for customers and deepen their loyalty. Ford develops and delivers innovative, must-have Ford trucks, sport utility vehicles, commercial vans and cars, and Lincoln luxury vehicles, along with connected services. The Company offers freedom of choice through three customer-centered business segments: Ford Blue, engineering iconic gas-powered and hybrid vehicles; Ford Model e, inventing breakthrough electric vehicles ("EVs") along with embedded software that defines always-on digital experiences for all customers; and Ford Pro, helping commercial customers transform and expand their businesses with vehicles and services tailored to their needs. Additionally, the Company provides financial services through Ford Motor Credit Company LLC ("Ford Credit"). In addition to the information about Ford and our subsidiaries contained in this Annual Report on Form 10-K for the year ended December 31, 2024 ("2024 Form 10-K Report" or "Report"), extensive information about our Company can be found at https://corporate.ford.com , including information about our management team, brands, products, services, and corporate governance principles. The corporate governance information on our website includes our Corporate Governance Principles, Code of Ethics for Senior Financial Personnel, Code of Ethics for the Board of Directors, Code of Corporate Cond

Business (Continued)

Item 1. Business (Continued) OVERVIEW Below is a description of our reportable segments and other activities as of December 31, 2024. FORD BLUE SEGMENT Ford Blue primarily includes the sale of Ford and Lincoln internal combustion engine ("ICE") and hybrid vehicles, service parts, accessories, and digital services for retail customers, together with the associated costs of development, manufacture, and distribution of the vehicles, parts, accessories, and services. This segment focuses on developing Ford and Lincoln ICE and hybrid vehicles. Additionally, this segment provides hardware engineering and manufacturing capabilities to Ford Model e and manufactures vehicles on behalf of Ford Pro and, in certain cases, Ford Model e. Ford Blue also includes: All sales for markets not presently in scope for Ford Model e or Ford Pro (as further described below) In markets outside of the United States and Canada, sales to commercial, government, and rental customers of ICE and hybrid vehicles not considered core to Ford Pro Sales of EVs by our unconsolidated affiliates in China All sales of vehicles manufactured and sold to other OEMs FORD MODEL E SEGMENT Ford Model e primarily includes the sale of our electric vehicles, service parts, accessories, and digital services for retail customers, together with the associated costs of development, manufacture, and distribution of the vehicles, parts, accessories, and services. This segment focuses on developing EV and digital vehicle technologies, as well as software development. Additionally, Ford Model e provides software and connected vehicle technologies on behalf of the enterprise, and manufactures certain EVs, including for Ford Pro. Ford Model e operates in North America, Europe, and China. Ford Model e also includes EV and related sales not considered core to Ford Pro to commercial, government, and rental customers in Europe, China, and Mexico. FORD PRO SEGMENT Ford Pro primarily includes the sale of Ford a

Business (Continued)

Item 1. Business (Continued) In addition to the products we sell to our dealerships for retail sale, we also sell vehicles to our dealerships for sale to fleet customers, including commercial fleet customers, daily rental car companies, and governments. We also sell parts and accessories, primarily to our dealerships (which, in turn, sell these products to retail customers) and to authorized parts distributors (which, in turn, primarily sell these products to retailers). We also offer extended service contracts. The worldwide automotive industry is affected significantly by general economic and political conditions over which we have little control. Vehicles are durable goods, and consumers and businesses have latitude in determining whether and when to replace an existing vehicle. The decision whether to purchase a vehicle may be affected significantly by slowing economic growth, geopolitical events, and other factors (including the cost of purchasing and operating cars, trucks, and utility vehicles, the availability and cost of financing, cost of fuel, and electric vehicle charging availability and cost). As a result, the number of cars, trucks, and utility vehicles sold may vary substantially from year to year. Further, the automotive industry is a highly competitive business that has a wide and growing variety of product and service offerings from a growing number of manufacturers. Our wholesale unit volumes vary with the level of total industry demand and our share of that industry demand. Our wholesale unit volumes also are influenced by the level of dealer inventory, and our ability to maintain sufficient production levels to support desired dealer inventory in the event of supplier disruptions or other types of disruptions affecting our production. Our share is influenced by how our products are perceived by customers in comparison to those offered by other manufacturers based on many factors, including price, quality, styling, reliability, safety, fue

Business (Continued)

Item 1. Business (Continued) Raw Materials. We purchase a wide variety of raw materials from numerous suppliers around the world for use in the production of, and development of technologies in, our vehicles. These materials include base metals (e.g., steel and aluminum), precious metals (e.g., palladium), energy (e.g., natural gas), and plastics/resins (e.g., polypropylene). As we transition to a greater mix of electric vehicles, we expect to increase our reliance on lithium, cobalt, and nickel, among other materials, for batteries. We expect to have adequate supplies or sources of availability of raw materials necessary to meet our needs; however, there always are risks and uncertainties with respect to the supply of raw materials that could impact availability in sufficient quantities and at cost effective prices to meet our needs. See "Item 1A. Risk Factors" for a discussion of the risks associated with a shortage of components or raw materials, supplier disruptions, and inflationary pressures, the "Key Trends and Economic Factors Affecting Ford and the Automotive Industry" section of Item 7 for a discussion of commodity and energy price changes, and "Item 7A. Quantitative and Qualitative Disclosures about Market Risk" ("Item 7A") for a discussion of commodity price risks. Intellectual Property. We own or hold licenses to use numerous patents, trade secrets, copyrights, and trademarks on a global basis. We expect to continue building this portfolio as we actively pursue innovation in every part of our business. We also own numerous trademarks and service marks that contribute to the identity and recognition of our Company and its products and services globally. While our intellectual property rights in the aggregate are important to the operation of each of our businesses, we do not believe that our business would be materially affected by the expiration of any particular intellectual property right or termination of any particular intellectual property agre

Business (Continued)

Item 1. Business (Continued) Sales, Industry Volume, and Market Share Sales, industry volume, and market share in certain key markets during the past three years were as follows: Sales (a) Industry Volume (b) Market Share (c) (in millions of units) (in millions of units) (as a percentage) 2022 2023 2024 2022 2023 2024 2022 2023 2024 United States 1.9 2.0 2.1 14.2 16.1 16.4 13.1 % 12.4 % 12.6 % China (d) 0.5 0.5 0.4 23.9 25.1 27.1 2.1 1.8 1.6 Canada 0.2 0.2 0.3 1.6 1.8 1.9 15.2 13.7 14.7 United Kingdom 0.2 0.2 0.2 1.9 2.3 2.4 12.1 10.8 9.6 Germany 0.2 0.2 0.2 3.0 3.2 3.2 5.7 5.1 5.0 Trkiye 0.1 0.1 0.1 0.8 1.3 1.3 10.5 8.9 8.8 Italy 0.1 0.1 0.1 1.5 1.8 1.8 6.4 6.1 5.8 Australia (e) 0.1 0.1 0.1 1.1 1.2 1.2 6.2 7.2 8.2 France 0.1 0.1 0.1 2.0 2.3 2.2 3.9 3.9 3.5 __________ (a) Represents primarily sales by dealers, sales to the government, and leases to Ford management, and is based, in part, on estimated vehicle registrations; includes medium and heavy trucks. (b) Industry volume is an internal estimate based on publicly available data collected from various government, private, and public sources around the globe; includes medium and heavy trucks. (c) Market share represents reported retail sales of our brands as a percent of total industry volume in the relevant market or region. (d) China includes Taiwan; China market share includes Ford brand and JMC brand vehicles produced and sold by our unconsolidated affiliates. (e) Not previously presented. U.S. Sales by Type The following table shows U.S. sales volume and U.S. wholesales (consisting primarily of vehicles sold to dealerships) segregated by electric, hybrid, and internal combustion vehicles. U.S. sales volume represents primarily sales by dealers, sales to the government, and leases to Ford management, and is based, in part, on estimated vehicle registrations and includes medium and heavy trucks. U.S. Sales U.S. Wholesales 2023 2024 2023 2024 Electric Vehicles 72,608 97,865 99,92

Business (Continued)

Item 1. Business (Continued) FORD CREDIT SEGMENT The Ford Credit segment is comprised of the Ford Credit business on a consolidated basis, which is primarily vehicle-related financing and leasing activities. Ford Credit offers a wide variety of automotive financing products to and through automotive dealers throughout the world. The predominant share of Ford Credit's business consists of financing our vehicles and supporting our dealers. Ford Credit earns its revenue primarily from payments made under retail installment sale and finance lease (retail financing) and operating lease contracts that it originates and purchases; interest rate supplements and other support payments from us and our affiliates; and payments made under dealer financing programs. As a result of these financing activities, Ford Credit has a large portfolio of finance receivables and operating leases which it classifies into two portfolios —"consumer" and "non-consumer." Finance receivables and operating leases in the consumer portfolio include products offered to individuals and businesses that finance the acquisition of our vehicles from dealers for personal and commercial use. Retail financing includes retail installment sale contracts for new and used vehicles and finance leases (comprised of sales-type and direct financing leases) for new vehicles to retail and commercial customers, including leasing companies, government entities, daily rental companies, and fleet customers. Finance receivables in the non-consumer portfolio include products offered to automotive dealers. Ford Credit makes wholesale loans to dealers to finance the purchase of vehicle inventory, also known as floorplan financing, as well as loans to dealers to finance working capital and improvements

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