Ford profit plunges 35 percent

Shanks said Ford's results for the rest of the year would be "about flat to a little bit better" compared with 2016.

The No. 2 USA automaker had warned investors in late March that higher expenditure and lower sales volumes would have an impact on its quarterly earnings.

Automotive revenues totaled $36.5 billion for the quarter, up by $1.3 billion year over year, but operating margin fell by 4.4 percentage points to 5.4% and pretax profit dipped by $1.5 billion to $2.0 billion.

The company attributed lower year-over-year profits in part to higher warranty costs, investments in new product opportunities, and rising commodity costs, according to a letter to shareholders. In the U.S., Ford's average transaction price rose $1,971 over the first quarter of 2016, driven by sales of the F-150, Super Duty trucks, and Lincoln vehicles.

"We delivered a solid quarter and we continue to expect a good year this year", Ford CEO Mark Fields said.

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Operating profits for Ford's North American operations were $2 billion in the first-quarter, down 35% compared with the same period a year ago. Total expenses were 96.32 percent of quarterly revenues, up from 93.50 percent for the same period a year ago.

By Comcast [Public domain], via Wikimedia CommonsComcast said adjusted EBITDA rose 10.4% year over year to $7 billion, while consolidated net income attributable to Comcast rose 20.2% to $2.6 billion. Full-year cost efficiencies of about $3 billion are expected to offset costs outside of investments in emerging opportunities, the company said in its shareholder letter.

Ratings agencies have warned of worsening credit and there are concerns millions of almost new leased vehicles due to flood the market over the next couple of years will depress used-car values and hurt US automakers' sales.

Ford's revenue climbed 4 percent to $39 billion in the first quarter.

Net income fell 35 percent from the same quarter past year.

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Ford, as well as all automakers, is facing an automotive industry in the US where sales have started to stall following seven years of growth that set new record highs for sales.

Ford fell 1.6 percent to $11.41 as of 11:04 a.m.in NY trading.

In Europe, where the industry continues to recover, Ford reported a pretax profit of $US176 million compared with $US434 million past year.

North America continued to be where the automaker made most of its profits, even as those profits fell.

Comcast and Ford released their latest earnings reports before opening bell this morning.

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