Go Further BERNARD SILVERSTONE CHAIRMAN & CEO FORD MOTOR CREDIT COMPANY GROUP VICE PRESIDENT FORD MOTOR COMPANY

Go Further BERNARD SILVERSTONE CHAIRMAN & CEO FORD MOTOR CREDIT COMPANY GROUP VICE PRESIDENT FORD MOTOR COMPANY DEUTSCHE BANK GLOBAL INDUSTRIALS AND B...
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Go Further BERNARD SILVERSTONE CHAIRMAN & CEO FORD MOTOR CREDIT COMPANY GROUP VICE PRESIDENT FORD MOTOR COMPANY DEUTSCHE BANK GLOBAL INDUSTRIALS AND BASIC MATERIALS CONFERENCE JUNE 3, 2015

OUR FOCUS

One Ford

Acceleration

THE PLAN

Product Excellence

Delivered with Passion Innovation

In Every Part of Our Business

Large Asia Pacific

Americas Europe, Middle East & Africa

+

Medium

Small

+

=

Profits & Cash

PROFITABLE GROWTH FOR ALL

SLIDE 1

ONE FORD LONG-TERM OBJECTIVES People Working Together As A Lean, Global Enterprise For Automotive Leadership

Top 5

More

Top Quartile

Sales /

Balanced

Operating

Total

10%+

Regional

Margins

Shareholder

Global

& Segment

8%+

Return

Share

Profits

(TSR)

Highly Regarded By All Stakeholders

Delivering Profitable Growth For All SLIDE 2

ONE FORD STRATEGIC FRAMEWORK Strong Brands

Complete Family Of Best-In-Class Vehicles

Serving All Markets

Large

Americas Asia Pacific

Medium

Europe, Middle East & Africa

• •

Further Strengthen Ford Brand Globally



Grow Lincoln Brand



Nurture Developed Markets; Sharply Expand In Emerging Markets Leverage Parts and Service And Ford Credit

Product Excellence

Profit = Revenue X Margin

Ford Smart Mobility

PROFITABLE GROWTH FOR ALL

Small

“Turbo Machine”

• •

Expand In Small Vehicles And Luxury Strengthen Position In Utility Vehicles And Trucks

• • • • •

Transform Consumer Experience Lead In Connectivity Innovate In Mobility Evolve Autonomous Vehicles Technology Leverage Analytics

• • • •

Deliver Scale Benefits Optimize Footprint Drive Cost Efficiencies Improve Processes

Innovation SLIDE 3

INNOVATION MINDSET

Challenge Custom And Question Tradition Take Nothing For Granted

Take Risks

Move Fast And Constantly Innovate

Focus On The Consumer Experience

Ride The Technology Curve

Lead With Innovation In Every Part Of Our Business SLIDE 4

Anything else is just credit.

SLIDE 5

FORD CREDIT

SUPPORTING FORD AROUND THE WORLD

• Ford, Lincoln 2014 sales: 6.3 million (wholesale) • Ford, Lincoln 2014 dealers: 11,980

Ford Credit Operations

Joint Ventures Joint Ventures

Outside Providers Outside Providers

Ford Credit Export Finance Ford Credit Export Finance SLIDE 6

FORD CREDIT

INTEGRATION CREATES STRATEGIC ADVANTAGE

SLIDE 7

FORD CREDIT

BUSINESS OPERATIONS BUY IT RIGHT OPERATE, COLLECT EFFICIENTLY FUND EFFICIENTLY

ORIGINATE SERVICE • Customer contracts: 4.2 million • Customer touch points: ~100 million a year • Dealers: 5,200

FUND

Ford Credit Maintains A Relentless Focus On Business Fundamentals SLIDE 8

FORD CREDIT

VALUE PROPOSITION – CUSTOMER LOYALTY TO FORD U.S. - % Loyal to Ford & Lincoln 75%

65%

55%

17 ppts. 45%

35%

25%

2010

2011 Ford Credit

2012 Dealer Arranged

2013

2014

Customer Arranged

Source: Maritz New Vehicle Customer Survey 2010-2014

Customers Who Finance With Ford Credit Are More Loyal To Ford; Ford Credit Helps Support Ford Market Share SLIDE 9

FORD CREDIT

EFFECTIVE SERVICING -- LOW CREDIT LOSSES Worldwide Charge-Offs (Mils) and Loss-to-Receivables Ratio (%) 1.07%

1.02%

0.84% 0.57%

0.39%

0.47%

0.46%

0.24%

0.16%

0.18%

0.19%

$1,327

$706

$523

$632

$355

$1,095

$415

$201

$136

$176

$209

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Worldwide Credit Loss Reserve (Mils) and Reserve as a Pct. of EOP Managed Receivables 1.80%

1.40%

1.19% 0.81%

1.61% 1.02%

0.77%

0.63%

0.44%

0.37%

0.32%

$2,434

$1,586

$1,110

$1,090

$355

$1,549

$854

$534

$408

$380

$359

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Credit Losses Remain At Historic Lows SLIDE 10

FORD CREDIT

WORLDWIDE MANAGED RECEIVABLES AND EQUITY 1Q 2015 Managed Receivables* Of $113 Billion Regional View

Product View

International 19% $22 Billion

Dealer Loan and Other 3% $3 Billion

Wholesale 27% $31 Billion Retail 49% $55 Billion

U.S. & Canada 81% $91 Billion

Leases 21% $24 Billion

Equity** $11.2 Billion Supporting Operations

* Managed receivables equals net receivables, excluding unearned interest supplements and residual support, allowance for credit losses, and other (primarily accumulated supplemental depreciation). See Appendix for reconciliation to GAAP ** Equity equals shareholder’s interest reported on Ford Credit’s balance sheet

SLIDE 11

FORD CREDIT

CAPITAL STRATEGY Expanding and diversifying funding programs globally – Increasing mix of term debt, reducing mix of securitization – Developing innovative funding platforms in developed and emerging markets, including China Maintaining strong liquidity to protect against funding disruptions – Targeting total liquidity of $25 billion+ Continue to target about 10% after-tax return on equity with sustainable distributions – Maintaining leverage between 8 and 9 to 1 Targeting single-A investment grade profile Net contributor to Ford capital

Strong Funding And Liquidity Profile Supports Growth Plans SLIDE 12

FORD CREDIT

A STRATEGIC ASSET Consistently profitable business driven by: Integrated marketing strategy with Ford World-class operating costs Strong risk management – well-performing portfolio Pre-tax Results $2.3

$2.2

$1.8

$1.8

$2.1

$2.5

$2.5

Distributions $4.9

$3.7 $3.1

$2.9 $2.0

$2.0

$1.2

$2.4

$2.0

$(2.6) 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

2011

$1.9

$1.7

$1.8

2012

2013 2014

Over The Last 20 Years, Ford Credit Generated $42 Billion In Pre-Tax Profits And $28 Billion In Distributions SLIDE 13

FORD CREDIT

2015 KEY FINANCIAL SUMMARY

Focus RS

SLIDE 14

2015 PLANNING ASSUMPTIONS AND KEY METRICS Memo: 2014 Full Year Results Planning Assumptions (Mils) Industry Volume -- U.S. -- Europe 20 -- China Key Metrics Automotive (Compared with 2014): - Revenue (Bils)

2015 Full Year Plan Outlook

16.8 14.6 24.0

17.0 - 17.5 14.8 - 15.3 24.5 - 26.5

2015 1Q

On Track 15.2 - 15.7 24.0 - 26.0

17.1 15.7 24.0

$ 135.8

Higher

$ 31.8

3.9%

Higher

3.6%

- Operating Margin - Operating-Related Cash Flow (Bils)*

$

3.6

Higher

Ford Credit (Compared with 2014): - Pre-Tax Profit (Bils)

$

1.9

Equal To Or Higher

Total Company: - Pre-Tax Profit (Bils)*

$

6.3

$8.5 - $9.5

On Track

$ 0.5

$ 0.5

$

1.4

* Excludes special items; see Appendix for more detail and reconciliation to GAAP

Total Company Guidance Unchanged; Total Company Pre-Tax Profit To Be $8.5 Billion To $9.5 Billion SLIDE 15

Q&A

FURTHER INFORMATION

Ford Investor Relations Contacts: Equity Investors: Fixed Income Investors: Erik Eliason Stephen Dahle 313.594.0613 313.621.0881 [email protected] [email protected] Information on Ford: shareholder.ford.com 10-K Annual Reports 10-Q Quarterly Reports 8-K Current Reports Ford University

Ford Motor Credit Company: FordCredit.com/investor-center 10-K Annual Reports 10-Q Quarterly Reports 8-K Current Reports Ford Credit University

SLIDE 17

RISK FACTORS Statements included or incorporated by reference herein may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on expectations, forecasts, and assumptions by our management and involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially from those stated, including, without limitation: • • • • • • • • • • • • • • • • • • • • • • • • • • •

Decline in industry sales volume, particularly in the United States, Europe, or China due to financial crisis, recession, geopolitical events, or other factors; Decline in Ford's market share or failure to achieve growth; Lower-than-anticipated market acceptance of Ford's new or existing products; Market shift away from sales of larger, more profitable vehicles beyond Ford's current planning assumption, particularly in the United States; An increase in or continued volatility of fuel prices, or reduced availability of fuel; Continued or increased price competition resulting from industry excess capacity, currency fluctuations, or other factors; Fluctuations in foreign currency exchange rates, commodity prices, and interest rates; Adverse effects resulting from economic, geopolitical, or other events; Economic distress of suppliers that may require Ford to provide substantial financial support or take other measures to ensure supplies of components or materials and could increase costs, affect liquidity, or cause production constraints or disruptions; Work stoppages at Ford or supplier facilities or other limitations on production (whether as a result of labor disputes, natural or man-made disasters, tight credit markets or other financial distress, production constraints or difficulties, or other factors); Single-source supply of components or materials; Labor or other constraints on Ford's ability to maintain competitive cost structure; Substantial pension and postretirement health care and life insurance liabilities impairing our liquidity or financial condition; Worse-than-assumed economic and demographic experience for postretirement benefit plans (e.g., discount rates or investment returns); Restriction on use of tax attributes from tax law "ownership change”; The discovery of defects in vehicles resulting in delays in new model launches, recall campaigns, or increased warranty costs; Increased safety, emissions, fuel economy, or other regulations resulting in higher costs, cash expenditures, and / or sales restrictions; Unusual or significant litigation, governmental investigations, or adverse publicity arising out of alleged defects in products, perceived environmental impacts, or otherwise; A change in requirements under long-term supply arrangements committing Ford to purchase minimum or fixed quantities of certain parts, or to pay a minimum amount to the seller ("take-or-pay" contracts); Adverse effects on results from a decrease in or cessation or clawback of government incentives related to investments; Inherent limitations of internal controls impacting financial statements and safeguarding of assets; Cybersecurity risks to operational systems, security systems, or infrastructure owned by Ford, Ford Credit, or a third-party vendor or supplier; Failure of financial institutions to fulfill commitments under committed credit and liquidity facilities; Inability of Ford Credit to access debt, securitization, or derivative markets around the world at competitive rates or in sufficient amounts, due to credit rating downgrades, market volatility, market disruption, regulatory requirements, or other factors; Higher-than-expected credit losses, lower-than-anticipated residual values, or higher-than-expected return volumes for leased vehicles; Increased competition from banks, financial institutions, or other third parties seeking to increase their share of financing Ford vehicles; and New or increased credit, consumer, or data protection or other regulations resulting in higher costs and / or additional financing restrictions.

We cannot be certain that any expectation, forecast, or assumption made in preparing forward-looking statements will prove accurate, or that any projection will be realized. It is to be expected that there may be differences between projected and actual results. Our forward-looking statements speak only as of the date of their initial issuance, and we do not undertake any obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events, or otherwise. For additional discussion, see "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2014, as updated by subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

SLIDE 18

APPENDIX

2015 INCOME FROM CONTINUING OPERATIONS 1Q 2014 (Mils) Automotive North America South America Europe Middle East & Africa Asia Pacific Other Automotive Total Automotive (excl. special items) Special items -- Automotive Total Automotive Financial Services Ford Credit Other Total Financial Services Company Pre-tax results (Provision for) / Benefit from income taxes Net income Less: Income / (Loss) attributable to non-controlling interests Net income attributable to Ford

2015 (Mils)

Memo: Full Year 2014 (Mils)

$

1,500 (510) (194) 54 291 (222)

$

1,340 (189) (185) 79 103 (212)

$ 6,898 (1,162) (1,062) (20) 589 (755)

$

919 (122) 797

$

936 936

$ 4,488 (1,940) $ 2,548

483 (14) 469

$

1,405 (480) 925 1 924

$

1,405 (480) 1 924

$

$ $ $ $ $ $

$

499 (37) 462

$

1,259 (270) 989 989

$

1,381 (362) 1,019

$

$

$ $

$

$ $

1,854 (60) 1,794 4,342 (1,156) 3,186 (1) 3,187

Memo: Excluding special items Pre-tax results (Provision for) / Benefit from income taxes Less: Income / (Loss) attributable to non-controlling interests After-tax results

$

$

$

6,282 (1,650) (1) $ 4,633

APPENDIX 1

2015 SPECIAL ITEMS

1Q 2014 (Mils)

2015 (Mils)

Personnel-Related Items Separation-related actions*

$ (122)

$ -

Tax Special Items

$

$ -

92

Memo: Special items impact on earnings per share**

$ (0.01)

$ -

* Primarily related to separation costs for personnel at the Genk and U.K. facilities ** Includes related tax effect on special items and tax special items

Mustang Shelby GT350R

APPENDIX 2

AUTOMOTIVE SECTOR

NET INTEREST RECONCILIATION TO GAAP 1Q 2014 (Mils) Interest expense (GAAP) Investment-related interest income (GAAP) Interest income / (expense) on income taxes (GAAP) Subtotal

$ (208) 39 26 $ (143)

Adjusted for items included / excluded from net interest Include: Gains / (Losses) on cash equiv. and marketable securities* Include: Gains / (Losses) on extinguishment of debt Other Net Interest

2015 (Mils) $

$

13 (5) (28) $

(163)

(165) 45 (9) (129)

24 1 (33) $

(137)

* Excludes mark-to-market adjustments of our investment in Mazda

APPENDIX 3

AUTOMOTIVE SECTOR

GROSS CASH RECONCILIATION TO GAAP Mar. 31, 2014 (Bils)

Dec. 31, 2014 (Bils)

Mar. 31, 2015 (Bils)

Cash and cash equivalents Marketable securities Total cash and marketable securities (GAAP)

$ 4.5 20.7 $ 25.2

$ 4.6 17.1 $ 21.7

$

Securities in transit* Gross cash

$ 25.2

$ 21.7

$ 19.5

5.1 14.4 $ 19.5

* The purchase or sale of marketable securities for which the cash settlement was not made by period end and the related payable or receivable remained on the balance sheet

APPENDIX 4

AUTOMOTIVE SECTOR

OPERATING-RELATED CASH FLOWS RECONCILIATION TO GAAP 1Q

Net cash provided by / (used in) operating activities (GAAP) Items included in operating-related cash flows Capital spending Proceeds from the exercise of stock options Net cash flows from non-designated derivatives Items not included in operating-related cash flows Separation payments Funded pension contributions Tax refunds and tax payments from affiliates Other Operating-related cash flows

2014 (Bils)

2015 (Bils)

$

$

2.0

1.0

Memo: Full Year 2014 (Bils) $ 8.8

(1.5) 0.1 -

(1.8) 0.1 0.1

(7.4) 0.2 0.2

0.5 (0.2) 0.3 $ 1.2

0.4 0.8 (0.1) $ 0.5

0.2 1.5 (0.2) 0.3 $ 3.6

APPENDIX 5

FORD CREDIT

NET FINANCE RECEIVABLES AND OPERATING LEASES Net Receivables * Finance receivables – North America Segment Consumer retail financing Non-consumer: Dealer financing** Non-consumer: Other Total finance receivables – North America Segment Finance receivables – International Segment Consumer retail financing Non-consumer: Dealer financing** Non-consumer: Other Total finance receivables – International Segment

Dec. 31, 2014

Mar. 31, 2015

(Bils)

(Bils)

$

44.1 22.5 1.0

$

43.7 22.5 0.9

$

67.6

$

67.1

$

11.8 9.3 0.3

$

11.5 9.5 0.4

$

21.4

$

21.4

Unearned interest supplements Allowance for credit losses Finance receivables, net

(1.8) (0.3) $

86.9

$

86.5

$

108.4

$

108.5

$

108.4 3.9 0.4 0.1

$

108.5 3.8 0.4 0.2

$

112.8

$

112.9

21.5

Net investment in operating leases Total net receivables

(1.7) (0.3)

22.0

Managed Receivables Total net receivables Unearned interest supplements and residual support Allowance for credit losses Other, primarily accumulated supplemental depreciation Total managed receivables

* Includes finance receivables (retail and wholesale) sold for legal purposes and net investment in operating leases included in securitization transactions that do not satisfy the requirements for accounting sale treatment. These receivables and operating leases are reported on Ford Credit’s balance sheet and are available only for payment of the debt issued by, and other obligations of, the securitization entities that are parties to those securitization transactions; they are not available to pay the other obligations of Ford Credit or the claims of Ford Credit’s other creditors ** Dealer financing primarily includes wholesale loans to dealers to finance the purchase of vehicle inventory

APPENDIX 6

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