Ford Australia announces 2010 profit

Ford Australia has today reported a net after-tax profit of $24.9M for the 2010 calendar year, a year-on-year improvement of $12.7M.

The company says its results have been bolstered by "continued concentration and improvement of key business fundamentals", including improved revenue from existing operations, more positive cash flow, and reduced intercompany borrowings.

Retail sales of 98,941 vehicles across Australia and New Zealand was a decrease on its 2009 volume of 99,279 units. In the face of these reduced sales, Ford says higherprofit is a direct result of its "continued emphasis on selling a richer mix of vehicles".

Other income streams include the receipt of federal Government ACIS credits linked to production and new vehicle program timings.

Ford says it madeg investments of more than $307M across research, development and facilities over the same timeframe.

Ford Australia President and CEO, Bob Graziano, said Ford Australia's position as a key contributor to the financial health of the Ford Motor Company ensured a positive outlook.

"Despite the changing economic conditions and segmentation challenges the industry faced during the latter half of 2010, Ford has recorded our second straight year of profit and we continue to make the right decisions for our business," said Graziano.

"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," he said.

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