NEW YORK (CNN/Money) -
Ford Motor Co. said Monday it expects to post a third-quarter profit, surprising Wall Street analysts who expected the No 2 automaker to lose money.
The news, released after the close of regular trading, sent shares of Ford up 30 cents, or 3 percent, to $11.10 after hours, narrowing its year-to-date loss to 29 percent.
The Dearborn, Mich.-based automaker said it expected to earn a "small profit" in the third quarter, excluding one-time items. Wall Street analysts, on average, expect Ford to lose 10 cents per share in the quarter, according to earnings tracker First Call.
"We beat analyst estimates in the first and second quarters and we will do it again in the third quarter," CEO Bill Ford said in a statement.
Ford (F: Research, Estimates) also reaffirmed its earlier expectation that it would report "a modest profit" for the full-year 2002.
Last week, Ford agreed to extend its offer of zero-percent financing on most 2002 models in an effort to keep robust late-summer sales going.
Strong sales in August inspired General Motors (GM: Research, Estimates), the No. 1 U.S. automaker -- which originated the zero-percent financing tactic following the Sept. 11 terror attacks -- to raise its outlook for third-quarter earnings.
Ford, which reported a loss in 2001, has been losing market share to GM and is in the process of revamping its lineup of autos.
In July, Ford reported its first profitable quarter in more than a year and said it expected to lose money in the third quarter.
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