Back in business, but taking a hit.
Ford Motor Co. (F) will resume production of its F-150 and Super Duty pickups after a fire at a parts supplier forced the automaker to suspend production, which will hit second-quarter earnings, the company announced Wednesday, May 16.
Production of the F-150 will restart production of the F-150 at the Dearborn Truck Plant on Friday, while production of F-150 and the Super Duty at its Kentucky Truck Plant and a Kansas City assembly plant will resume on Monday.
Ford said it didn’t expect the fire to have any effect on sales to customers or change its full-year earnings guidance of $1.45 per share to $1.70 per share.
The company did say, however, it expects the incident will cut second quarter earnings by between 12 and 14 cents per share.
“While the situation remains extremely dynamic, our teams are focused on returning our plants to full production as fast as possible,” Joe Hinrichs, Ford president, Global Operations, said in a statement. “The ramp-up time to full production is improving every day.”
Ford shares rose 1.60% to $11.40 during the trading session Wednesday. Shares rose slightly, by about 0.3%, after hours.
Weeks after Ford revealed it would substantially dial back its focus on cars in North America to center its attention on its prized F-Series pickup trucks and other new SUVs and crossovers, a fire on May 2 at a Michigan magnesium die cast components plant operated by Meridian Lightweight Technologies prompted the U.S. automaker to temporarily halt production.
On a Wednesday call with members of the media, management said there is still “ample supply of the trucks our customers love.”
— Tom Terrarosa contributed to this report.