Ford's (F) fortunes are based on its ability to get its car business turned around before it runs low on cash. Vehicle sales in the United States, running at a rate of less than ten million a year, may not recover fast enough to assure that Ford has a future that does not include raising more money.
Ford had a pleasant surprise for the markets this morning as it earned 69 cents a share in the second quarter on $27.2 billion in revenue. Sales dropped from $41.1 billion in the same period a year ago. With debt restructuring costs backed out, Ford's operating loss was $638 million or a loss of 21 cents per share. In the same period a year ago, Ford lost $1.4 billion or 21 cents a share. Results bested Wall Street's estimates.