Ford Motor Co. reported a 44 percent gain in second-quarter profits, easily beating analysts' expectations, due to its strong sales in the U.S, led by the Ford F-150 pickup truck, according to a report from Reuters.
Bob Shanks, Ford's Chief Financial Officer, said to Reuters that operating profits in the U.S. totaled nearly $2.6 billion, a record for the company in any quarter, and was linked to better pricing on new product launches.
A significant factor in the profitable quarter is the rollout of new versions of several models, which include the F-150 pickup truck, and the Edge and Explorer SUVs, Shanks told Reuters.
Bloomberg added that Ford's F-150s are loaded with pricey leather seats and technology, which help margins. In spite these additions, the automobile maker is reportedly selling these pickup trucks at a high rate.
Erich Merkle, Ford's sales analyst, told Bloomberg that the truck is selling for $44,100 on average, the highest transaction price in the full-size pickup segment.
The company reported, in a press release, a net profit of $1.9 billion, or 47 cents per share. Pre-tax profit is at $2.9 billion.
Bloomberg reported that analysts were estimating an average of only 37 cents per share.
"We delivered an outstanding second quarter, a great first half of 2015, and we are confident the second half of the year will be even stronger," Mark Fields, Chief Executive Officer of Ford, mentioned in a statement.
In addition, Bloomberg reported that the result will ease pressure on the company. Fields has pledged for pre-tax profit to grow as much as 51 percent this year as the company resumes full production of the F-150 pickup truck, its top-selling vehicle.
"Ford is all about the second half of this year," David Whiston, an analyst for Morningstar Inc. in Chicago, told Bloomberg. "The F-150 will be at full availability then, and the new Edge and Explorer SUVs are coming out at a time when gas is still pretty cheap."
The company maintained its pre-tax profit forecast of $8.5 billion to $9.5 billion for 2015, according to the press release.
Ford shares were up 2.7 percent to $14.95 before the market opened, Reuters reported.
