Ford Australia posted a $24.9 million after-tax profit in 2010 on the back of increased revenue of around $200 million.
The result was achieved despite a decrease in total vehicle sales in Australia and New Zealand – down from 99,279 units to 98,941. In 2009, Ford Australia recorded a more modest after-tax profit of $12.2 million.
The local manufacturer’s revenue grew from $3.1 billion to $3.3 billion in 2010, with its total cash rising $12 million to $232 million and its intercompany borrowings decreasing from $525 million to $475 million.
Ford Australia also received $116 million from Australian Securities & Investments Commission credits and invested more than $307 million into facilities, research and development for a range of local and global vehicle programs.
Ford Australia President and CEO, Bob Graziano, said the company’s second consecutive profit in a difficult economic environment was evidence that Ford Australia was making the right business decisions.
"We continue to invest significantly in our business, with a range of exciting new sustainability initiatives and new vehicles coming to market in 2011, all of which will attract more customers to the Ford brand,” Mr Graziano said."We are launching the critically acclaimed SZ Territory, have a refreshed Mondeo line-up and we are moving ahead with plans for the all-new Focus and Ranger pickup as well as Falcon EcoLPi and EcoBoost models.”
Ford sold 95,284 new vehicles in Australia and 3657 in New Zealand in 2010.
After four months in 2010, Ford has sold 29,178 vehicles in Australia, just 3.3 percent off 2010’s pace. The steady sales result has been achieved despite a significant drop in demand for Ford’s locally manufactured vehicles: Falcon (down 41.5 percent), Falcon Ute (down 29.7 percent) and Territory (down 18.3 percent).
Between January and April, Ford sold 10,957 locally manufactured vehicles in Australia, down from 16,694 in 2010.