2024 Cash Flow Analysis for Ford Motor Co F

Ford Motor Co is a renowned automotive company that designs, manufactures, and sells a wide range of vehicles, including cars, trucks, and SUVs. The company is headquartered in Dearborn, Michigan, and was founded in 1903. Ford is known for its iconic vehicles such as the Ford F-150, Mustang, and Explorer, as well as its commitment to innovation in electric and autonomous vehicle technology.

The cash flow statement is a critical financial document that shows how much cash or cash equivalents a company has generated and used during a specific period. It is divided into three sections: operating activities, investing activities, and financing activities. This statement helps investors and analysts understand how a company is managing its cash resources.

How to read the chart

The chart above illustrates the cash flow of Ford Motor Co in 2024. The width of the bars represents the amount of cash flow, with wider bars indicating larger amounts.

We begin on the left with the company's cash position at the start of the year. During the year, the cash decreased, with a significant portion used for investing activities. The cash flow from operating activities is the largest source of cash, while the cash flow from investing activities is negative, indicating that the company spent more on new investments than it received from selling assets or investments. The cash flow from financing activities is positive, reflecting that the company raised more cash through activities such as issuing debt or equity than it paid out for purposes like debt repayments or dividend payments.

After accounting for the change in cash, we end on the right with the company's cash position at the end of the year.

Real-Time Cash Flow Counter

To illustrate the scale of Ford Motor Co's cash flow, we have created a real-time counter that simulates the company's cash flow for 2024. The counter starts when you scroll to this section and runs at the same speed as the company's reported cash flow.

This is not a live counter of real cash flows as they happen, but a simulation based on the company's reported cash flow for 2024. The counter is meant to give you a sense of the scale of the company's cash flow and how quickly it moves.

Cash Flow Statement

In 2024, Ford Motor Co generated $15,423 million in cash from operating activities, spent $24,370 million on investing activities, and received $7,485 million from financing activities. As a result, the company's cash balance decreased by $1,920 million during the year.

The company's beginning cash balance was $25,110 million, which typically includes cash and cash equivalents, such as short-term investments that can be easily converted into cash. The company's ending cash balance was $23,190 million.

The company's capital expenditures for the year were $8,684 million. This amount represents the cash the company spent on investments in property, plant, and equipment. Subtracting capital expenditures from cash flow from operations gives the company's free cash flow, which was $6,739 million in 2024. This amount represents the cash the company has available to pay dividends, repurchase stock, or make other investments.

Summary

Ford Motor Co's cash flow in 2024 highlights several key aspects. The company generated substantial cash from operating activities, indicating strong operational performance. However, significant investments in property, plant, and equipment led to a large outflow in investing activities. Despite this, Ford managed to raise cash through financing activities, which helped mitigate the decrease in cash balance. The company's focus on capital expenditures suggests a commitment to growth and innovation, particularly in the automotive sector.