Ford Motor reported $1.8 billion in profit for the three months that ended in September, a decline that the company attributed mainly to the global shortage of computer chips.
Revenue fell about 5 percent, to $35.7 billion, the automaker said Wednesday. In the same period a year ago, when auto sales were rebounding after a slump caused by the coronavirus pandemic, Ford earned $2.4 billion on $37.5 billion in revenue.
“Semiconductor availability remains a challenge, but markedly improved from the second quarter,” the company said in a statement.
Despite the shortage of computer chips, Ford increased its earnings outlook for 2021 and said it would resume paying a dividend in the fourth quarter.
Earlier on Wednesday, General Motors, which has also been hampered by the computer chip shortage, reported that its third-quarter profit fell to $2.4 billion from $4 billion in the year-earlier period.
Modern automobiles require dozens of computer chips for a wide range of electronic components such as engine controllers and infotainment systems. Production of automotive chips declined significantly last year during the pandemic, leaving automakers with shortages that have forced them to idle plants for weeks at a time.