Ford Motor Co. returned to profitability in its second quarter and slowed its cash burn.
The car maker posted a net income of $2.3 billion or 69 cents a share, compared with a loss of $8.67 billion, or $3.89 a share for the same period a year earlier.
The company said it burned through about $1 billion in cash during the quarter as it restricted incentive spending around the world while increasing output in its North American plants.
Ford Motor Co. said its vehicle sales in China rose 14 percent to 197,212 units in the first half from a year earlier, according to Wednesday's China Daily.
Changan Ford Mazda, a tie-up with Chongqing Changan Auto Co. and Mazda Motor sold 140,386 cars in the first six months, up 20 percent from a year earlier.
Sales of its all new Fiesta compact car came to 18,224 units during the period. The monthly sales of its mid-range Focus sedan averaged more than 10,000 units, said the U.S. company in a statement.
Jiangling Motors Corp. Ltd., a commercial vehicle maker partly owned by Ford, sold a record 53,327 vehicles during the first half of the year, including 14,210 Ford Transit models.
At a time with domestic rivals GM and Chrysler were in bankruptcy, Ford generated profit mainly from a $3.4 billion gain it received related to debt-restructuring in April. Excluding the one-time gains, the company would have reduced its quarterly loss to $424 million compared with a loss of $1.03 billion a year earlier.
Ford said revenue dropped to $27.2 billion, compared to $38.6 billion for the same time period a year earlier.
Ford North America reduced its pre-tax loss to $851 million from a loss of $1.3 billion a year earlier while Ford Europe, normally the best performing region, had a pre-tax profit of $138 million, down from $582 million a year earlier. Last quarter, the North America unit reported and an operating loss of $637 million while Europe had a $550 million loss.
SEE: Henry Ford and Cork, Ireland
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