Ford chief tries to reassure Wall Street after profit miss

Ford Motor Co. boss Jim Hackett took on Wall Street’s criticism that he’s moved too slowly and shared too little about restructuring plans, asking analysts to believe in his “thoughtful” approach while posting profit that fell short of estimates.

“I don’t believe CEO longevity is something that’s attained when companies are left in tatters,” Hackett said Wednesday at a Deutsche Bank auto conference in Detroit.

“What I have to do to get your confidence in me and this team is to continue to share proof points that the thoughtfulness is converting” into results.

Hackett made the appeal after Ford reported preliminary profit for 2018 of $1.30 a share, below analysts’ projection for $1.32. There’s potential for improvement on revenue, earnings before interest and taxes, and adjusted operating cash flow this year as Ford rolls out new vehicles, Chief Financial Officer Bob Shanks said.

Some analysts were disappointed Ford didn’t provide specific forecasts for 2019.

“Investor patience is likely to be further tested today,” Chris McNally, an analyst at Evercore ISI, wrote to clients.

Ford is abandoning the traditional sedan market in the U.S. and rolling out a range of SUVs, including the redesigned Explorer, and expanding its line of trucks by reviving the midsize Ranger. Beyond the restructuring that Morgan Stanley estimated could result in 25,000 job cuts, Hackett also is spending a combined $15 billion in the coming years developing electric and self-driving vehicles.