Ford Motor reported its largest quarterly earnings miss in four years in its fourth-quarter results released Tuesday, with unexpected tariff costs and impacts from fires at a Novelis aluminum supplier plant affecting the company’s financial performance. The automaker is guiding for 2026 to be a rebound year, with adjusted EBIT, free cash flow, and capital expenditures all expected to increase compared to 2025. Despite the challenges faced in the past year, Ford’s underlying business is improving, as demonstrated by its 2025 revenue reaching a record $187.3 billion.

Looking ahead, Ford’s traditional and fleet operations are expected to offset losses from its “Model e” electric vehicle unit in 2026. The company’s net loss of $8.2 billion in 2025, its largest since the Great Recession in 2008, included special charges related to a pullback in its all-electric vehicle plans. Despite the setbacks, Ford remains focused on its long-term strategy and is optimistic about its prospects for the coming year.