DETROIT — Ford Motor guided to the low end of its previously announced 2024 earnings forecast as it slightly topped Wall Street's third-quarter expectations.

The Detroit automaker said Monday it now expects adjusted earnings before interest and taxes, or EBIT, of about $10 billion. It had previously guided to between $10 billion and $12 billion. It retained its forecast for adjusted free cash flow of between $7.5 billion and $8.5 billion.

Heading into Monday's results, several Wall Street analysts were concerned Ford would need to lower its forecast due to softening demand, rising vehicle inventory levels and worries about Ford's ability to achieve an announced $2 billion in cost cuts this year.

"Our focus continues on cost and quality, which are holding back our progress and represent tremendous upside potential," Ford CFO and Vice Chair John Lawler said Monday during a media briefing.

Lawler said Ford has achieved its $2 billion in material rate and manufacturing costs, but higher inflationary and warranty costs have eaten into those improvements.

Here's how the company performed in the third quarter, compared with average estimates compiled by LSEG:

• Earnings per share: 49 cents adjusted vs. 47 cents expected
• Automotive revenue: $43.07 billion vs. $41.88 billion expected

Shares of the automaker were down by more than 4% during after hours trading after closing Monday at $11.37, up 2.7%.

The automaker was under pressure after a disappointing second quarter in which unexpected warranty costs caused the company to miss Wall Street's earnings expectations.

Lawler said the company's warranty costs were slightly lower than they were a year earlier after increasing by $800 million year over year during the second quarter. He declined to disclose the overall costs during the third quarter.

Ford's third quarter results were led by its "Pro" commercial and fleet business as well as its traditional operations, known as "Ford Blue." Blue reported adjusted earnings of $1.63 billion, while Pro earned $1.81 billion.

Its "Model e" electric unit recorded losses of $1.22 billion during the third quarter — less than it lost a year earlier largely due to lower volumes.

Ford's net income for the third quarter was $896 million, or 22 cents per share. Adjusted EBIT increased roughly 16% year over year to $2.55 billion. Ford's 2023 third quarter included $41.18 billion in automotive revenue, net income of $1.17 billion, or 30 cents per share, and adjusted earnings before interest and taxes of $2.2 billion, or 39 cents per share.

Ford's overall revenue for the third quarter, including its finance business, increased about 5% year over year to $46.2 billion.

This is breaking news. Please check back for updates.