Ford (F) Q2 2026: $3.6B BlueOval SK Exit Drives $1.33B Net Loss
This analysis is based on Ford Motor Company's Form 10-Q for the quarterly period ended June 30, 2026, filed with the U.S. Securities and Exchange Commission on July 29, 2026 (accession 0000037996-26-000156). All figures are consolidated and presented under US GAAP unless otherwise noted.
Ford reported a second-quarter net loss attributable to Ford of $1,327 million, but the loss says almost nothing about how the core business is running. Every dollar of it — and then some — came from the cost of dismantling BlueOval SK, the EV battery joint venture Ford built with Korea's SK On, which produced $3.6 billion of charges in the quarter (Notes 12 and 16). Strip that out and the operating picture is the strongest it has been in three years: first-half operating income more than tripled to $2,967 million from $830 million, and the first-half operating margin of 3.2% now sits above the full-year margins Ford ran in fiscal 2023 and 2024, before the fiscal 2025 collapse. The tension in this filing is that Ford bought its way out of an expensive EV commitment at the exact moment its combustion and commercial franchises are firing — and paid for it by turning an automotive net cash position into net debt.
1. Consolidated Balance Sheet
1-1. Principal asset movements
| Item | Dec 31, 2025 ($M) | Jun 30, 2026 ($M) | Change % |
|---|---|---|---|
| Cash and cash equivalents | 23,356 | 18,603 | -20.3% |
| Marketable securities | 15,131 | 12,731 | -15.9% |
| Trade and other receivables | 15,398 | 17,880 | +16.1% |
| Inventories | 15,285 | 16,946 | +10.9% |
| Net property | 37,288 | 39,958 | +7.2% |
| Equity in net assets of affiliated companies | 2,753 | 2,758 | +0.2% |
| Deferred income taxes | 21,953 | 23,107 | +5.3% |
| Total assets | 289,160 | 285,531 | -1.3% |
The asset side tells the BlueOval SK story in reverse. Net property rose $2,670 million, driven mainly by capital spending that itself rose 21.8% to $4,758 million in the half, plus the assets acquired from BlueOval SK — the filing puts the fair value of everything Ford took over, including the two Kentucky plants and related fixed assets, at $0.9 billion, and records the acquisition and the related debt assumption as non-cash investing and financing activities (Note 16).
