Ford Motor Credit Co. today reported higher volume, a higher share of U.S. Ford and Lincoln business, and higher pre-tax earnings for the third quarter versus a year ago.
“The portfolio continues to perform extremely well. Losses continue to run at historical lows,” said Neil Schloss, vice president and treasurer.
Ford Credit said the repossession rate was the lowest third quarter on record, at only 1.01% of total outstandings. That was very slightly lower than 1.07% a year ago. Following a typical seasonal pattern, repos were slightly higher than 0.89% in the second quarter, Ford Credit said.
For the U.S. market, Ford Credit loan and lease originations combined were 411,000 contracts in the third quarter, up 15% from a year ago. Year to date, U.S. originations were 1,040,000, up 10%, Ford Credit said. Worldwide, volume was up 10% to 611,000 for the quarter, and up 8% to 1,634,000 year to date.
Ford Credit’s share of loan and lease volume for U.S. Ford and Lincoln dealers was 56% in the third quarter, up from 53% a year ago.
Ford Credit pre-tax earnings were $541 million, up 9%. Parent Ford Motor Credit Co. had net income of $1.9 billion for the quarter, more than double the year-ago quarter, on record results for North America. In a statement, the company said the results reflected better availability of the redesigned Ford F-150 pickup, the best-selling model for Ford and for the entire U.S. market.
