Ford’s Aussie presence goes into freefallPOSTED BY Nigel Andretti ON 27 May 2015
SLIPPING sales and mounting exit costs continue to hit Ford Australia’s finances hard.
The company has just posted a A$190.7 million (RM555 mn) loss for the 2014 financial year.
Having sold 79,703 vehicles last year, Ford’s annual total slumped to a 48-year low with the latest figure taking its total loss in the last decade to A$1.3 billion.
The company says, though, that the 2014 result is a step in the right direction and A$76m better off than the previous year’s loss of nearly A$267m.
Ford Motor Company of Australia communications and public affairs director Wes Sherwood told GoAuto the most recent figures mark a reduction in operating losses, adding that better times were ahead for the American car-maker.
“We think a key is that these results show our long-term business is strengthening as our operating results improved nearly A$3 million (the loss was reduced from A$26 to about A$23 million) based on a better mix of sales,” he said.
Whether the smaller loss indicates a turnaround in profits remains to be seen, but the company will be planning to reverse trends in October 2016 when it becomes a full-line importer.
The date will mark the end of its iconic Falcon large sedan, sales of which have slipped dramatically in recent years, despite a recent facelift and better sales performance from its XR8 flagship (above).
Earlier this year, the vehicle that was once Australia’s favourite car had slumped to 53rd place in the new car sales rankings and continues to slide into obscurity.