Stock Analysis on Net

Ford Motor Co. (NYSE:F)

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Analysis of Inventory

Microsoft Excel

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Inventory Disclosure

Ford Motor Co., balance sheet: inventory

US$ in millions

Microsoft Excel
Dec 31, 2025 Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021
Raw materials, work-in-process, and supplies
Finished products
Inventories

Based on: 10-K (reporting date: 2025-12-31), 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).


The composition of inventories exhibited distinct trends over the five-year period. Overall inventory values increased initially, peaked, and then stabilized with a slight decline. A more granular examination reveals differing patterns within the components of raw materials, work-in-process, finished products, and total inventories.

Raw Materials, Work-in-Process, and Supplies
The value of raw materials, work-in-process, and supplies generally increased from 2021 to 2023, rising from US$5,785 million to US$6,196 million. A decrease was then observed in 2024, falling to US$5,394 million, followed by a recovery to US$6,020 million in 2025. This suggests potential fluctuations in production input costs or changes in inventory management strategies related to these items.
Finished Products
Finished products inventory demonstrated a consistent upward trend from 2021 to 2023, increasing significantly from US$6,280 million to US$9,455 million. This growth slowed in 2024, with a marginal increase to US$9,557 million, and then experienced a slight decrease to US$9,265 million in 2025. The substantial increase in finished goods between 2021 and 2023 could indicate increased production outpacing sales, or a deliberate build-up of inventory in anticipation of future demand.
Total Inventories
Total inventories mirrored the trends of its components, increasing from US$12,065 million in 2021 to a peak of US$15,651 million in 2023. A subsequent decline to US$14,951 million occurred in 2024, followed by a modest increase to US$15,285 million in 2025. The overall pattern suggests a period of inventory accumulation followed by stabilization, potentially influenced by economic conditions or shifts in production and sales volumes. The 2024 decrease, while relatively small, warrants further investigation to determine its underlying causes.

The relative proportion of finished goods within total inventories increased over the period. In 2021, finished goods represented approximately 52% of total inventories, while in 2025, this proportion rose to approximately 60%. This shift suggests a potential change in the company’s inventory strategy, possibly focusing on maintaining higher levels of finished goods to meet anticipated demand or mitigate supply chain disruptions.