Analysis of Debt
Total Debt (Carrying Amount)
Ford Motor Co., balance sheet: debt
US$ in millions
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
The analysis of the debt-related financial data over the five-year period reveals distinct trends in both short-term and long-term obligations.
- Debt payable within one year
- This short-term debt category shows a slight decline from 51,343 million US dollars at the end of 2020 to 49,692 million in 2021. The amount remained relatively stable in 2022 and 2023, with minor fluctuations around the 50,000 million mark. In 2024, there is a noticeable increase to 54,949 million, representing a rise compared to the previous years and suggesting a potential increase in short-term financing or upcoming maturities.
- Long-term debt payable after one year
- The long-term debt exhibits a declining trend from 110,341 million US dollars at the end of 2020 to 88,400 million in 2021, followed by a marginal increase to 88,805 million in 2022. Subsequently, there is a gradual rise in 2023 to 99,562 million and further to 103,573 million in 2024. This pattern indicates initial debt reduction in the early period, followed by a period of incremental increases, which may reflect renewed long-term borrowing or refinancing activities.
- Total debt (carrying amount)
- Total debt decreased significantly from 161,684 million US dollars at the end of 2020 to 138,092 million in 2021, maintaining a similar level in 2022 with a slight increase to 138,969 million. From 2022 onwards, total debt rises steadily to 149,231 million in 2023 and reaches 158,522 million in 2024. This overall pattern highlights a reduction in total debt during the initial years, followed by a reversal with gradually increasing debt obligations, indicating a possible strategic shift in capital structure or financing needs.
Total Debt (Fair Value)
| Dec 31, 2024 | |
|---|---|
| Selected Financial Data (US$ in millions) | |
| Company debt excluding Ford Credit | 20,178) |
| Ford Credit debt | 140,046) |
| Total debt (fair value) | 160,224) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 1.01 |
Based on: 10-K (reporting date: 2024-12-31).
Weighted-average Interest Rate on Debt
Weighted-average effective interest rate on debt: 4.85%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 4.00% | 632) | 25) | |
| 5.30% | 20,022) | 1,061) | |
| 4.70% | 17,413) | 818) | |
| 4.80% | 120,455) | 5,782) | |
| Total | 158,522) | 7,687) | |
| 4.85% | |||
Based on: 10-K (reporting date: 2024-12-31).
1 US$ in millions
2 Weighted-average interest rate = 100 × 7,687 ÷ 158,522 = 4.85%