Detroit – Ford motor Adjusted pre-tax profit for the second quarter was “above expectations”, a significant improvement over the same period last year, and net profit “significantly lower” than the same period last year.

The company released a wide range of predictions on Thursday afternoon before CEO Jim Farley presented them at Deutsche Bank’s Global Automotive Industry Conference.

“Automotive improvements are being driven by lower than expected costs and favorable market factors,” the company said. “The higher auction value of the vehicle also benefits Ford Credit.”

The automaker’s stock rose about 1% in early Thursday trading.

Ford said automaker in April, despite ongoing uncertainty about Farley’s meeting attendees about the supply of semiconductor chips used in infotainment and other systems needed to build cars. He says the auto business has improved since it had year-round driving advisories on the 28th.

Ford had previously announced it would lose about 50% of its planned production in the second quarter due to bottlenecks, up from 17% in the first quarter.

In April, Ford forecast full-year adjusted pre-tax profit in the range of $ 5.5 billion to $ 6.5 billion. This includes the negative impact of a semiconductor shortage of around $ 2.5 billion. Adjusted free cash flow for the full year was forecast at $ 500 million to $ 1.5 billion.

The first half of this year was better than many automakers expected. Delivery bottlenecks due to component issues have resulted in higher vehicle prices and profits.

Ford said it expects net income to decline significantly in the second quarter due to a $ 3.5 billion return on its investment in an Argo self-driving AI unit with Volkswagen. The company reported net income of $ 1.1 billion in the second quarter of last year.

Ford’s comment comes the next day. General Motors’ adjusted pre-tax profit is projected to be between $ 8.5 billion and $ 9.5 billion, he said. In the first half of this year they rose from an estimated $ 5.5 billion.