FORD Motor Co. has reported revenue for the first quarter 2026 of $US2.5 billion ($A3.5b) and expects an improved full-year earnings result based on the expectation of a $US1.3b ($A1.83b) refund on the tariffs it paid.

Ford said the one-time tariff benefit — nearly triple what rival General Motors is expected to receive — covers duties paid from March 2025 through February 2026. 

Ford CFO Sherry House said the refund has been booked because that’s when the US Supreme Court ruled some of the duties imposed by president Donald Trump were unconstitutional. She told Automotive News that Ford was unsure when it would receive the money.

Ford CFO Sherry House

The company still expects a net tariff impact of $US1b ($A1.4b) this year, split between vehicles and parts. That would be down from $US2b ($A2.8b) paid in 2025.

Automotive News said Ford’s underlying business outperformed expectations in the quarter with revenue up 6 per cent to $US43.3b ($A60.8b), while adjusted earnings before interest and taxes more than tripled to $US3.5b ($A4.9b). 

Net income was more than five times the $US471m ($A661m) it reported a year earlier.

Ford attributed the results to strong pricing and product mix, as well as increased revenue from software subscriptions and physical services.

Ford headquarters Dearborn, Michigan

It has now increased its full-year forecast for adjusted earnings before interest and taxes to $US8.5b ($A11.9b) to $US10.5b ($A14.75b), from $US8b ($A11.2b) to $US10b ($A14b).First-quarter profits were driven by the Ford Blue (petrol vehicles) and Ford Pro commercial business units, which also are getting the most benefit from the expected tariff refund.

Ford Pro earned $US1.7b ($A2.4b) on $US14.7b ($A20.6b) in revenue, the company said. Paid software subscriptions grew 30 per cent year over year to 879,000.

Ford Blue made $US1.9b ($A2.7b) on $US23.9b ($A33.6b) in revenue on strong sales of large SUVs after discontinuing the unprofitable Escape crossover last year.

Higher-margin, off-road versions of trucks and utilities made up nearly 25 per cent of Ford’s sales. 

Ford’s EV unit, Model e, lost $US777m ($A1.09b). Ford continues to invest in its next-generation ‘universal electric vehicle’ platform, which will underpin models including a mid-size ute expected next year.

Ford Credit reported first-quarter earnings before taxes of $US783m ($A1.1b), up 35 per cent from the same period a year ago.

Ford CEO Jim Farley said in a statement: “We built the foundation for a more modern, resilient Ford, improving cost and quality and building our world-class team”.

Ford CEO Jim Farley

“We are well-prepared to deliver for our customers and shareholders as we enter one of the most intensive product, software and physical services rollouts in our history.”

General Motors also raised its 2026 guidance by $US500m ($A702m) this week on the promise of a tariff refund.

In the second half of this year Ford expects to recover profits lost to a September fire at aluminum supplier Novelis.

It said the fire, which affected production of Ford’s profit-rich F-Series pickup line, would have a net cost of $US2b ($A2.8b).

Ford headquarters Dearborn, Michigan

It detailed plans late last year to boost truck production to make up roughly 50,000 units of production this year, and Ms House said Ford’s recovery plans remained on track.By Neil Dowling