Ford Motor (F) risk factors, FY2025 10-K

Ford Motor's FY2025 10-K, filed Feb 11, 2026, lists 159 risk factors. Against the prior year's 158: 20 new, 19 dropped, 96 substantially reworded.

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Risk factors listed
1590 groups
New this year
20vs 158 last year
Dropped
19since the prior 10-K
Substantially reworded
96of those kept
Section length
50k wordsItem 1A

What the changes say

  • Electric vehicle market challenges led to an $8.1 billion pre-tax impairment charge on Model e long-lived assets in 2025.
  • Consumer financing receivables reached $85.3 billion while dealer financing decreased to $26.2 billion.
  • U.S. pre-tax income dropped to a loss of $11.6 billion.

What changed since the prior 10-K

New

  • New

    ∘ Pension and OPEB remeasurement gains and losses ∘ No minimum

  • New

    (d)Portions of this exhibit have been omitted pursuant to Rule 601(b)(10) of Regulation S-K. The omitted information is not material and would likely cause competitive harm to the Company if publicly disclosed

  • New

    Kyle Crockett (principal accounting officer)

  • New

    detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements

  • New

    Impairments of Model e Long-Lived Assets and Equity in Net Assets of an Affiliated Company

    Challenges in the EV market triggered an $8.1 billion pre-tax impairment charge on Model e long-lived assets in the fourth quarter of 2025.

  • New

    EV asset impairment/program cancellation asset write-downs (including depreciation of $8,140) (Note 13)

  • New

    We account for U.S. tax on global intangible low-taxed income in the period incurred, and we account for investment tax credits using the deferral method

  • New

    Reconciliation of Income Tax

  • New

    Cash paid for income taxes, net of refunds, for the years ended December 31, 2023 and 2024 was $1,027 million and $1,218 million, respectively

  • New

    $ 15,490 $ 111 $ (19) $ 15,582 $ 4,296 $ 11,240 $ 46

  • New

    Gross realized losses 37 28 5

  • New

    Gross charge-offs $ 46 $ 58 $ 71 $ 152 $ 191 $ 50 $ 568

  • New

    If management does not believe the models reflect lifetime expected credit losses for the portfolio, an adjustment is made to reflect management judgment regarding qualitative factors, including economic uncertainty, observable changes in portfolio performance, and other relevant factors

  • New

    Long-Lived Asset Impairment

  • New

    NOTE 14. EQUITY IN NET ASSETS OF AFFILIATED COMPANIES

  • New

    Amortization of prior service costs/(credits)

  • New

    (a) Included in 2025 is our impairment of finance lease assets. See Note 13 for additional information

  • New

    (d)These adjustments are related to hedging activity and include discontinued hedging relationship adjustments of $(450) million and $(319) million at December 31, 2024 and 2025, respectively. The carrying value of hedged debt was $41.1 billion and $41.7 billion at December 31, 2024 and 2025, respectively

  • New

    In 2023, we announced our plan to phase-out production of the Focus at our Saarlouis Body and Assembly plant in Germany. We ceased production in the fourth quarter of 2025, and we plan to repurpose the facility into a technical center

  • New

    Our estimate of reasonably possible loss in excess of our accruals for all material matters currently reflects indirect tax and regulatory matters, for which we estimate the aggregate risk to be a range of up to about $0.6 billion

Dropped

  • Dropped

    ∘ Gains and losses on investments in equity securities ∘ No minimum

  • Dropped

    During 2024, no triggering events were identified

  • Dropped

    (c)Submitted electronically with this Report in accordance with the provisions of Regulation S-T

  • Dropped

    Mark Kosman (principal accounting officer)

  • Dropped

    Valuation of Deferred Tax Assets and Liabilities

  • Dropped

    NOTE 7. INCOME TAXES (Continued)

  • Dropped

    In 2022, we reversed $405 million of previously established U.S. valuation allowances, primarily as a result of planning actions

  • Dropped

    $ 15,051 $ 41 $ (118) $ 14,974 $ 3,810 $ 11,051 $ 113

  • Dropped

    Total $ 6,022 $ (35) $ 3,020 $ (83) $ 9,042 $ (118)

  • Dropped

    Gross charge-offs $ 47 $ 40 $ 75 $ 85 $ 117 $ 37 $ 401

  • Dropped

    (a)Primarily represents amounts related to foreign currency translation adjustments

  • Dropped

    We use the equity method of accounting for our investments in entities over which we do not have control, but over whose operating and financial policies we are able to exercise significant influence

  • Dropped

    (a)In 2023, Jiangling Motors Corporation, Limited recorded restructuring charges, our share of which was $12 million. These charges are included in Equity in net income/(loss) of affiliated companies

  • Dropped

    Total lease expense $ 592 $ 767 $ 918

    The potential sale of Ford Sales and Service Korea Company no longer meeting held-for-sale criteria.

  • Dropped

    Interest expense on securitization debt was $1.3 billion, $2.5 billion, and 2.8 billion in 2022, 2023, and 2024, respectively

  • Dropped

    In addition, we are continuing to reduce our global workforce and take other restructuring actions, including the separation of salaried workers as announced during 2023 and 2024 and separation packages offered to certain members of our hourly workforce during 2024

  • Dropped

    Net prior service (costs)/credits arising during the period

  • Dropped

    For the majority of matters, which generally arise out of alleged defects in our products, we establish an accrual based on our extensive historical experience with similar matters. We do not believe there is a reasonably possible outcome materially in excess of our accrual for these matters

  • Dropped

    (d)Primarily reflects losses on our Rivian investment and the impairment of our Argo AI equity method investment

Reworded

  • 100% rewritten

    NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

    Replaced general fair value accounting disclosures with specific trade and notes receivables credit loss reserve figures totaling $140 million for 2025.

  • 100% rewritten

    (a)Total past due dealer financing receivables at December 31, 2024 were $8 million

  • 100% rewritten

    (a)Total past due dealer financing receivables at December 31, 2025 were $8 million

    Was: (a)Total past due dealer financing receivables at December 31, 2023 were $33 million

  • 97% rewritten

    Mortgage/other asset-backed

  • 95% rewritten

    In the ordinary course of business, we buy/sell various products and services including vehicles, parts, and components to/from our equity method investees. In addition, we receive royalty income

  • 93% rewritten

    Adoption of New Accounting Standards

  • 93% rewritten

    Components of Income Taxes

    Updated income tax components to reflect a U.S. pre-tax loss of $11.55 billion and a total tax benefit of $3.67 billion in 2025.

  • 93% rewritten

    NOTE 10. FORD CREDIT FINANCE RECEIVABLES AND ALLOWANCE FOR CREDIT LOSSES (Continued)

    Updated Ford Credit finance receivables figures, showing consumer receivables at $85.3 billion and an increased allowance for credit losses of $911 million for 2025.

  • 92% rewritten

    Examinations by tax authorities have been completed through 2008 in Germany; 2014 in the United States; 2017 in Mexico; 2018 in the United Kingdom; 2019 in Canada; 2020 in China; and 2021 in India

    Was: Examinations by tax authorities have been completed through 2008 in Germany; 2014 in the United States; 2015 in Mexico; 2018 in Canada, Spain, and the United Kingdom; and 2019 in China and India

  • 91% rewritten

    NOTE 22. ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

  • 90% rewritten

    (b)Includes interest on long-term debt payable within one year and after one year

  • 90% rewritten

    (b)Intersegment revenues only reflect finished vehicle transactions between Ford Blue, Ford Model e, and Ford Pro where there is an intersegment markup and are recognized at the time of the intersegment transaction

  • 89% rewritten

    NOTE 18. DEBT AND COMMITMENTS (Continued)

  • 89% rewritten

    Total liabilities and equity $ 285,196 $ 289,160

    Was: Total liabilities and equity $ 273,310 $ 285,196

  • 88% rewritten

    NOTE 15. OTHER LIABILITIES AND DEFERRED REVENUE

  • 88% rewritten

    Components of Deferred Tax Assets and Liabilities

  • 83% rewritten

    Expected Future Benefit Payments

  • 83% rewritten

    2025 SUPPLEMENTAL INFORMATION

    Was: 2024 SUPPLEMENTAL INFORMATION

  • 83% rewritten

    NOTE 25. SEGMENT INFORMATION (Continued)

  • 82% rewritten

    NOTE 16. RETIREMENT BENEFITS (Continued)

  • 82% rewritten

    Finance leases 165 286 185

    Was: Finance leases 95 165 286

  • 81% rewritten

    NOTE 17. LEASE COMMITMENTS (Continued)

  • 80% rewritten

    Held-for-Sale Asset Impairment

  • 80% rewritten

    Reconciliation of Segment EBIT/EBT

  • 79% rewritten

    Income Effect of Derivative Financial Instruments

  • 79% rewritten

    Adjusted EBIT (Non-GAAP) $ 10,416 $ 10,208 $ 6,780

    Was: Adjusted EBIT (Non-GAAP) $ 10,415 $ 10,416 $ 10,208

  • 79% rewritten

    (a) Excludes pension costs of $218 million and $126 million in 2024 and 2025, respectively

    Was: (a) Excludes pension costs of $268 million and $218 million in 2023 and 2024, respectively

  • 76% rewritten

    Committed Credit Facilities

  • 75% rewritten

    (d)Primarily reflects pension and OPEB remeasurement, restructuring actions in Europe and China, and the Transit Connect customs matter accrual

    Was: (f)Primarily reflects mark-to-market adjustments for our global pension and OPEB plans, restructuring actions in Europe and China, and an accrual for the Transit Connect customs matter

  • 75% rewritten

    NOTE 5. OTHER INCOME/(LOSS)

  • 75% rewritten

    VIEs of Which We Are Not the Primary Beneficiary

  • 74% rewritten

    NOTE 6. SHARE-BASED COMPENSATION (Continued)

  • 73% rewritten

    Restricted Stock Units and Restricted Stock Shares

  • 71% rewritten

    Average rate of increase in compensation 4.05 3.54 3.98 3.80 3.52 3.80

    Was: Average rate of increase in compensation 3.70 3.42 3.65 4.05 3.54 3.98

  • 71% rewritten

    Warranty and Field Service Actions Accrual (United States)

  • 71% rewritten

    Net deferred tax assets $ 15,301 $ 20,599

    Was: Net deferred tax assets/(liabilities) $ 15,980 $ 15,301

  • 70% rewritten

    We recorded $381 million, $418 million, and $420 million of dividends from these affiliated companies for the years ended December 31, 2023, 2024, and 2025, respectively

    Was: We recorded $452 million, $381 million, and $418 million of dividends from these affiliated companies for the years ended December 31, 2022, 2023, and 2024, respectively

  • 70% rewritten

    Selected Other Information

  • 69% rewritten

    (b)For 2023, 2024, and 2025, a $37 million loss, a $5 million loss, and a $139 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax

    Was: (b)For 2022, 2023, and 2024, a $102 million loss, a $37 million loss, and a $5 million loss, respectively, were reported in Other comprehensive income/(loss), net of tax

  • 68% rewritten

    Earnings/(Loss) Per Share Attributable to Ford Motor Company Common and Class B Stock

  • 68% rewritten

    We recognize the benefit from a recovery of the costs associated with our warranty and field service actions when specifics of the recovery have been agreed with our supplier and the amount of recovery is virtually certain. Recoveries are reported in Trade and other receivables, net and Other assets

  • 67% rewritten

    Ford Credit Consumer Finance Receivables Allowance for Credit Losses

  • 67% rewritten

    Total finance lease liabilities $ 805 $ 890

    Was: Total finance lease liabilities $ 638 $ 805

  • 67% rewritten

    (a)Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy

  • 67% rewritten

    Operating lease depreciation expense $ 2,309 $ 2,482 $ 2,522

    Was: Operating lease depreciation expense $ 2,240 $ 2,309 $ 2,482

  • 66% rewritten

    Defined Benefit Plans – Expense and Status

  • 66% rewritten

    Grant date stock price 13.08 12.74 9.12

    Was: Grant date stock price 16.85 13.08 12.74

  • 65% rewritten

    (b)The fair value of finance receivables is categorized within Level 3 of the fair value hierarchy

  • 64% rewritten

    ITEM 9B. Other Information

  • 63% rewritten

    Trade, Notes, and Other Receivables

  • 63% rewritten

    Balance Sheet Effect of Derivative Financial Instruments

  • 61% rewritten

    NOTE 9. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES

  • 61% rewritten

    Definition and Limitations of Internal Control over Financial Reporting

  • 60% rewritten

    and Analysis of Financial Condition and Results of Operations (Continued)

  • 60% rewritten

    NOTE 20. EMPLOYEE SEPARATION ACTIONS AND EXIT AND DISPOSAL ACTIVITIES

  • 60% rewritten

    Impairment of Long-Lived Assets and Goodwill

    Was: Impairment of Long-Lived Assets

  • 58% rewritten

    As of December 31, 2025, there was approximately $394 million in unrecognized compensation cost related to non-vested RSUs. This expense will be recognized over a weighted average period of 1.8 years

    Was: As of December 31, 2024, there was approximately $450 million in unrecognized compensation cost related to non-vested RSUs. This expense will be recognized over a weighted average period of 1.9 years

  • 58% rewritten

    NOTE 9. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES (Continued)

  • 57% rewritten

    U.K. Export Finance Program

  • 57% rewritten

    At year-end 2025, Ford securities comprised less than 1% of our plan assets

    Was: At year-end 2024, Ford securities comprised less than 1% of our plan assets

  • 54% rewritten

    Our policy for funded pension plans is to contribute annually, at a minimum, amounts required by applicable laws and regulations. We may make contributions beyond those legally required

  • 53% rewritten

    Other comprehensive income/(loss), net of tax

  • 52% rewritten

    Supplier Price Adjustments

  • 52% rewritten

    (a)At December 31, 2024 and 2025, we held collateral of $27 million and $5 million, respectively, and we posted collateral of $127 million and $102 million, respectively

    Was: (a)At December 31, 2023 and 2024, we held collateral of $40 million and $27 million, respectively, and we posted collateral of $185 million and $127 million, respectively

  • 51% rewritten

    Cash, Cash Equivalents, and Restricted Cash

  • 50% rewritten

    ITEM 11. Executive Compensation

  • 49% rewritten

    We report revenue on a “where-sold” basis, which reflects the revenue within the country in which the ultimate sale or financing is made to our external customer

  • 46% rewritten

    At December 31, 2024 and 2025, accrued interest was $335 million and $314 million, respectively, which we report in Other assets in the current assets section of our consolidated balance sheets

    Was: At December 31, 2023 and 2024, accrued interest was $294 million and $335 million, respectively, which we report in Other assets in the current assets section of our consolidated balance sheets

  • 46% rewritten

    (a) 1. Financial Statements – Ford Motor Company and Subsidiaries

  • 46% rewritten

    Pensions and Other Postretirement Employee Benefits

  • 44% rewritten

    Company excluding Ford Credit Facilities

  • 44% rewritten

    Accounting Standards Issued But Not Yet Adopted

  • 44% rewritten

    Public Unsecured Debt Securities

  • 43% rewritten

    We have elected to recognize the cost for freight and shipping when control over vehicles, parts, or accessories has transferred to the customer as an expense in Cost of sales

  • 41% rewritten

    Held-and-Used Long-Lived Asset Impairment

  • 39% rewritten

    Net Intangible Assets and Goodwill

  • 39% rewritten

    For the remaining dealer financing, Ford Credit estimates an allowance for credit losses on a collective basis

  • 38% rewritten

    Finance and Lease Incentives

  • 38% rewritten

    NOTE 4. REVENUE (Continued)

  • 37% rewritten

    Schedule II Valuation and Qualifying Accounts for the years ended 2023, 2024, and 2025

    Was: Schedule II Valuation and Qualifying Accounts for the years ended 2022, 2023, and 2024

  • 37% rewritten

    Item 7A. Quantitative and Qualitative Disclosures About Market Risk (Continued)

  • 37% rewritten

    Net periodic benefit cost/(income) $ 966 $ 1,544 $ 542 $ 739 $ (738) $ 148 $ 380 $ 451 $ 231

    Was: Net periodic benefit cost/(income) $ 1,191 $ (439) $ (1,130) $ 966 $ 1,544 $ 542 $ 739 $ (738) $ 148

  • 33% rewritten

    NOTE 12. NET INVESTMENT IN OPERATING LEASES

  • 29% rewritten

    Supplier Finance Programs

  • 29% rewritten

    Ford may also indirectly benefit from incentives and grants awarded to companies with which we are affiliated but are not included in our consolidated financial statements

  • 28% rewritten

    The allowance for credit losses represents an estimate of the lifetime expected credit losses inherent in finance receivables as of the balance sheet date. The adequacy of the allowance for credit losses is assessed quarterly

  • 28% rewritten

    In addition, our purchasing organization (with guidance from the GRMC, as appropriate) negotiates contracts for the continuous supply of raw materials. In some cases, these contracts stipulate minimum purchase amounts and specific prices, and, therefore, play a role in managing commodity price risk

  • 26% rewritten

    The effectiveness of the Company’s internal control over financial reporting as of December 31, 2025 has been audited by PricewaterhouseCoopers LLP (PCAOB ID 238), an independent registered public accounting firm, as stated in its report included herein

    Was: The effectiveness of the Company’s internal control over financial reporting as of December 31, 2024 has been audited by PricewaterhouseCoopers LLP (PCAOB ID 238), an independent registered public accounting firm, as stated in its report included herein

  • 26% rewritten

    NOTE 25. SEGMENT INFORMATION

  • 26% rewritten

    Other Postretirement Employee Benefits

  • 25% rewritten

    Guarantees and Indemnifications

  • 24% rewritten

    Macroeconomic factors used in Ford Credit’s models are country specific and include variables such as unemployment rates, personal bankruptcy filings, housing prices, and gross domestic product

  • 24% rewritten

    (a)Includes impacts of share-based compensation

  • 23% rewritten

    COMPANY EXCLUDING FORD CREDIT MARKET RISK

  • 21% rewritten

    Certain Transactions with Ford Credit

  • 20% rewritten

    The fixed income asset sensitivity shown excludes other fixed income return components (e.g., changes in credit spreads, bond coupon and active management excess returns), and growth asset returns. Other factors that affect net funded status (e.g., contributions) are not reflected

All 159 risk factors

Headings as the filing states them, in filing order.

Other

  1. 01NON-GAAP FINANCIAL MEASURES THAT SUPPLEMENT GAAP MEASURES
  2. 02∘ Pension and OPEB remeasurement gains and losses ∘ No minimumNew
  3. 03and Analysis of Financial Condition and Results of Operations (Continued)60% rewritten
  4. 04Adjusted EBIT (Non-GAAP) $ 10,416 $ 10,208 $ 6,78079% rewritten
  5. 052025 SUPPLEMENTAL INFORMATION83% rewritten
  6. 06Selected Other Information70% rewritten
  7. 07CRITICAL ACCOUNTING ESTIMATES
  8. 08Warranties and Field Service Actions
  9. 09Pensions and Other Postretirement Employee Benefits46% rewritten
  10. 10The fixed income asset sensitivity shown excludes other fixed income return components (e.g., changes in credit spreads, bond coupon and active management excess returns), and growth asset returns. Other factors that affect net funded status (e.g., contributions) are not reflected20% rewritten
  11. 11Expected long-term rate of return on assets +/- 25 (70)/70 (60)/60
  12. 12Other Postretirement Employee Benefits26% rewritten
  13. 13Impairment of Long-Lived Assets and Goodwill60% rewritten
  14. 14Allowance for Credit Losses
  15. 15Macroeconomic factors used in Ford Credit’s models are country specific and include variables such as unemployment rates, personal bankruptcy filings, housing prices, and gross domestic product24% rewritten
  16. 16Accumulated depreciation on vehicles subject to operating leases reduces the value of the leased vehicles in Ford Credit’s operating lease portfolio from their original acquisition value to their expected residual value at the end of the lease term
  17. 17See Note 12 of the Notes to the Financial Statements for more information regarding accumulated depreciation on vehicles subject to operating leases
  18. 18Return volumes +/- 100 10/(10)
  19. 19We are exposed to a variety of market and other risks, including the effects of changes in foreign currency exchange rates, commodity prices, and interest rates, as well as risks to availability of funding sources, hazard events, and specific asset risks
  20. 20We are exposed to a variety of other risks, such as loss or damage to property, liability claims, and employee injury. We protect against these risks through the purchase of commercial insurance that is designed to protect us above our self-insured retention limits against events that could generate significant losses
  21. 21COMPANY EXCLUDING FORD CREDIT MARKET RISK23% rewritten
  22. 22Foreign currency risk, commodity risk, and interest rate risk are measured and quantified using a model to evaluate the sensitivity of market value to instantaneous, parallel shifts in rates and/or prices
  23. 23Item 7A. Quantitative and Qualitative Disclosures About Market Risk (Continued)37% rewritten
  24. 24In addition, our purchasing organization (with guidance from the GRMC, as appropriate) negotiates contracts for the continuous supply of raw materials. In some cases, these contracts stipulate minimum purchase amounts and specific prices, and, therefore, play a role in managing commodity price risk28% rewritten
  25. 25Interest Rate Risk. Generally, Ford Credit’s assets and the related debt have different re-pricing periods, and consequently, respond differently to changes in interest rates
  26. 26Debt consists primarily of short- and long-term unsecured and securitized debt. Ford Credit’s term debt instruments are principally fixed-rate and require fixed and equal interest payments over the life of the instrument and a single principal payment at maturity
  27. 27ITEM 8. Financial Statements and Supplementary Data
  28. 28ITEM 9A. Controls and Procedures
  29. 29The effectiveness of the Company’s internal control over financial reporting as of December 31, 2025 has been audited by PricewaterhouseCoopers LLP (PCAOB ID 238), an independent registered public accounting firm, as stated in its report included herein26% rewritten
  30. 30ITEM 9B. Other Information64% rewritten
  31. 31ITEM 10. Directors, Executive Officers of Ford, and Corporate Governance
  32. 32ITEM 11. Executive Compensation50% rewritten
  33. 33of Certain Beneficial Owners and Management and Related Stockholder Matters
  34. 34ITEM 13. Certain Relationships and Related Transactions, and Director Independence
  35. 35ITEM 14. Principal Accounting Fees and Services
  36. 36(a) 1. Financial Statements – Ford Motor Company and Subsidiaries46% rewritten
  37. 37Schedule II Valuation and Qualifying Accounts for the years ended 2023, 2024, and 202537% rewritten
  38. 38(d)Portions of this exhibit have been omitted pursuant to Rule 601(b)(10) of Regulation S-K. The omitted information is not material and would likely cause competitive harm to the Company if publicly disclosedNew
  39. 39Kyle Crockett (principal accounting officer)New
  40. 40Opinions on the Financial Statements and Internal Control over Financial Reporting
  41. 41Definition and Limitations of Internal Control over Financial Reporting61% rewritten
  42. 42detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statementsNew
  43. 43Impairments of Model e Long-Lived Assets and Equity in Net Assets of an Affiliated CompanyNew
  44. 44Warranty and Field Service Actions Accrual (United States)71% rewritten
  45. 45Ford Credit Consumer Finance Receivables Allowance for Credit Losses67% rewritten
  46. 46Total liabilities and equity $ 285,196 $ 289,16089% rewritten
  47. 47EV asset impairment/program cancellation asset write-downs (including depreciation of $8,140) (Note 13)New
  48. 48Other comprehensive income/(loss), net of tax53% rewritten
  49. 49(a)Includes impacts of share-based compensation24% rewritten
  50. 50Certain Transactions with Ford Credit21% rewritten
  51. 51Trade, Notes, and Other Receivables63% rewritten
  52. 52NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)100% rewritten
  53. 53Supplier Finance Programs29% rewritten
  54. 54Net Intangible Assets and Goodwill39% rewritten
  55. 55Regulatory Compliance Credits
  56. 56Held-and-Used Long-Lived Asset Impairment41% rewritten
  57. 57Held-for-Sale Asset Impairment80% rewritten
  58. 58Finance and Lease Incentives38% rewritten
  59. 59Supplier Price Adjustments52% rewritten
  60. 60Ford may also indirectly benefit from incentives and grants awarded to companies with which we are affiliated but are not included in our consolidated financial statements29% rewritten
  61. 61Adoption of New Accounting Standards93% rewritten
  62. 62Accounting Standards Issued But Not Yet Adopted44% rewritten
  63. 63(a)Includes extended service contract revenue
  64. 64Company excluding Ford Credit
  65. 65We have elected to recognize the cost for freight and shipping when control over vehicles, parts, or accessories has transferred to the customer as an expense in Cost of sales43% rewritten
  66. 66NOTE 4. REVENUE (Continued)38% rewritten
  67. 67NOTE 5. OTHER INCOME/(LOSS)75% rewritten
  68. 68NOTE 6. SHARE-BASED COMPENSATION
  69. 69Restricted Stock Units and Restricted Stock Shares73% rewritten
  70. 70As of December 31, 2025, there was approximately $394 million in unrecognized compensation cost related to non-vested RSUs. This expense will be recognized over a weighted average period of 1.8 years58% rewritten
  71. 71Grant date stock price 13.08 12.74 9.1266% rewritten
  72. 72NOTE 6. SHARE-BASED COMPENSATION (Continued)74% rewritten
  73. 73We account for U.S. tax on global intangible low-taxed income in the period incurred, and we account for investment tax credits using the deferral methodNew
  74. 74Components of Income Taxes93% rewritten
  75. 75Reconciliation of Income TaxNew
  76. 76Cash paid for income taxes, net of refunds, for the years ended December 31, 2023 and 2024 was $1,027 million and $1,218 million, respectivelyNew
  77. 77Components of Deferred Tax Assets and Liabilities88% rewritten
  78. 78Net deferred tax assets $ 15,301 $ 20,59971% rewritten
  79. 79Examinations by tax authorities have been completed through 2008 in Germany; 2014 in the United States; 2017 in Mexico; 2018 in the United Kingdom; 2019 in Canada; 2020 in China; and 2021 in India92% rewritten
  80. 80NOTE 8. CAPITAL STOCK AND EARNINGS/(LOSS) PER SHARE
  81. 81Earnings/(Loss) Per Share Attributable to Ford Motor Company Common and Class B Stock68% rewritten
  82. 82NOTE 9. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES61% rewritten
  83. 83NOTE 9. CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES (Continued)58% rewritten
  84. 84$ 15,490 $ 111 $ (19) $ 15,582 $ 4,296 $ 11,240 $ 46New
  85. 85Gross realized losses 37 28 5New
  86. 86Cash, Cash Equivalents, and Restricted Cash51% rewritten
  87. 87Ford Credit manages finance receivables as “consumer” and “non-consumer” portfolios. The receivables are generally secured by the vehicles, inventory, or other property being financed
  88. 88Finance Receivables Classification
  89. 89NOTE 10. FORD CREDIT FINANCE RECEIVABLES AND ALLOWANCE FOR CREDIT LOSSES (Continued)93% rewritten
  90. 90(b)The fair value of finance receivables is categorized within Level 3 of the fair value hierarchy65% rewritten
  91. 91At December 31, 2024 and 2025, accrued interest was $335 million and $314 million, respectively, which we report in Other assets in the current assets section of our consolidated balance sheets46% rewritten
  92. 92Gross charge-offs $ 46 $ 58 $ 71 $ 152 $ 191 $ 50 $ 568New
  93. 93(a)Total past due dealer financing receivables at December 31, 2024 were $8 million100% rewritten
  94. 94(a)Total past due dealer financing receivables at December 31, 2025 were $8 million100% rewritten
  95. 95The allowance for credit losses represents an estimate of the lifetime expected credit losses inherent in finance receivables as of the balance sheet date. The adequacy of the allowance for credit losses is assessed quarterly28% rewritten
  96. 96If management does not believe the models reflect lifetime expected credit losses for the portfolio, an adjustment is made to reflect management judgment regarding qualitative factors, including economic uncertainty, observable changes in portfolio performance, and other relevant factorsNew
  97. 97For the remaining dealer financing, Ford Credit estimates an allowance for credit losses on a collective basis39% rewritten
  98. 98NOTE 12. NET INVESTMENT IN OPERATING LEASES33% rewritten
  99. 99Operating lease depreciation expense $ 2,309 $ 2,482 $ 2,52267% rewritten
  100. 100Long-Lived Asset ImpairmentNew
  101. 101NOTE 14. EQUITY IN NET ASSETS OF AFFILIATED COMPANIESNew
  102. 102We recorded $381 million, $418 million, and $420 million of dividends from these affiliated companies for the years ended December 31, 2023, 2024, and 2025, respectively70% rewritten
  103. 103In the ordinary course of business, we buy/sell various products and services including vehicles, parts, and components to/from our equity method investees. In addition, we receive royalty income95% rewritten
  104. 104NOTE 15. OTHER LIABILITIES AND DEFERRED REVENUE88% rewritten
  105. 105NOTE 16. RETIREMENT BENEFITS
  106. 106Defined Benefit Plans – Expense and Status66% rewritten
  107. 107Average rate of increase in compensation 4.05 3.54 3.98 3.80 3.52 3.8071% rewritten
  108. 108Amortization of prior service costs/(credits)New
  109. 109Net periodic benefit cost/(income) $ 966 $ 1,544 $ 542 $ 739 $ (738) $ 148 $ 380 $ 451 $ 23137% rewritten
  110. 110NOTE 16. RETIREMENT BENEFITS (Continued)82% rewritten
  111. 111Our policy for funded pension plans is to contribute annually, at a minimum, amounts required by applicable laws and regulations. We may make contributions beyond those legally required54% rewritten
  112. 112Expected Future Benefit Payments83% rewritten
  113. 113Pension Plan Asset Information
  114. 114Alternative investments execute diverse strategies that provide exposure to a broad range of hedge fund strategies, equity investments in private companies, and investments in private property funds
  115. 115At year-end 2025, Ford securities comprised less than 1% of our plan assets57% rewritten
  116. 116Mortgage/other asset-backed97% rewritten
  117. 117(a)Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy67% rewritten
  118. 118NOTE 17. LEASE COMMITMENTS
  119. 119NOTE 17. LEASE COMMITMENTS (Continued)81% rewritten
  120. 120Total finance lease liabilities $ 805 $ 89067% rewritten
  121. 121Finance leases 165 286 18582% rewritten
  122. 122(a) Included in 2025 is our impairment of finance lease assets. See Note 13 for additional informationNew
  123. 123NOTE 18. DEBT AND COMMITMENTS
  124. 124NOTE 18. DEBT AND COMMITMENTS (Continued)89% rewritten
  125. 125(b)Includes interest on long-term debt payable within one year and after one year90% rewritten
  126. 126(d)These adjustments are related to hedging activity and include discontinued hedging relationship adjustments of $(450) million and $(319) million at December 31, 2024 and 2025, respectively. The carrying value of hedged debt was $41.1 billion and $41.7 billion at December 31, 2024 and 2025, respectivelyNew
  127. 127Public Unsecured Debt Securities44% rewritten
  128. 128U.K. Export Finance Program57% rewritten
  129. 129Company excluding Ford Credit Facilities44% rewritten
  130. 130Committed Credit Facilities76% rewritten
  131. 131NOTE 19. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES
  132. 132Derivative Financial Instruments and Hedge Accounting. Derivative assets are reported in Other assets and derivative liabilities are reported in Payables and Other liabilities and deferred revenue
  133. 133Cash Flow Hedges. We have designated certain forward contracts as cash flow hedges of forecasted transactions with exposure to foreign currency exchange and commodity price risks
  134. 134When a fair value hedge is de-designated, or when the derivative is terminated before maturity, the fair value adjustment to the hedged debt continues to be reported as part of the carrying value of the debt and is recognized in Ford Credit interest, operating, and other expenses over its remaining life
  135. 135NOTE 19. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Continued)
  136. 136Income Effect of Derivative Financial Instruments79% rewritten
  137. 137(b)For 2023, 2024, and 2025, a $37 million loss, a $5 million loss, and a $139 million gain, respectively, were reported in Other comprehensive income/(loss), net of tax69% rewritten
  138. 138Balance Sheet Effect of Derivative Financial Instruments63% rewritten
  139. 139(a)At December 31, 2024 and 2025, we held collateral of $27 million and $5 million, respectively, and we posted collateral of $127 million and $102 million, respectively52% rewritten
  140. 140NOTE 20. EMPLOYEE SEPARATION ACTIONS AND EXIT AND DISPOSAL ACTIVITIES60% rewritten
  141. 141In 2023, we announced our plan to phase-out production of the Focus at our Saarlouis Body and Assembly plant in Germany. We ceased production in the fourth quarter of 2025, and we plan to repurpose the facility into a technical centerNew
  142. 142(a) Excludes pension costs of $218 million and $126 million in 2024 and 2025, respectively79% rewritten
  143. 143NOTE 22. ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)91% rewritten
  144. 144NOTE 23. VARIABLE INTEREST ENTITIES
  145. 145VIEs of Which We Are Not the Primary Beneficiary75% rewritten
  146. 146VIEs of Which We Are the Primary Beneficiary
  147. 147Guarantees and Indemnifications25% rewritten
  148. 148Our estimate of reasonably possible loss in excess of our accruals for all material matters currently reflects indirect tax and regulatory matters, for which we estimate the aggregate risk to be a range of up to about $0.6 billionNew
  149. 149Warranty and Field Service Actions
  150. 150We recognize the benefit from a recovery of the costs associated with our warranty and field service actions when specifics of the recovery have been agreed with our supplier and the amount of recovery is virtually certain. Recoveries are reported in Trade and other receivables, net and Other assets68% rewritten
  151. 151Ending balance $ 14,032 $ 17,190
  152. 152NOTE 25. SEGMENT INFORMATION26% rewritten
  153. 153CODM Evaluation of the Business
  154. 154Segment Revenue, Cost, and Asset Principles for Ford Blue, Ford Model e, and Ford Pro
  155. 155NOTE 25. SEGMENT INFORMATION (Continued)83% rewritten
  156. 156Reconciliation of Segment EBIT/EBT80% rewritten
  157. 157(b)Intersegment revenues only reflect finished vehicle transactions between Ford Blue, Ford Model e, and Ford Pro where there is an intersegment markup and are recognized at the time of the intersegment transaction90% rewritten
  158. 158(d)Primarily reflects pension and OPEB remeasurement, restructuring actions in Europe and China, and the Transit Connect customs matter accrual75% rewritten
  159. 159We report revenue on a “where-sold” basis, which reflects the revenue within the country in which the ultimate sale or financing is made to our external customer49% rewritten

Other Ford Motor 10-Ks

  • FY2024 10-K risk factors
    158 risks

    This filing lacks a prior-year risk section, preventing year-over-year comparison of strategic risk shifts.

    Filed Feb 06, 2025

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