Meanwhile, its commercial and traditional internal combustion engine business units were profitable enough to offset losses incurred by making and selling electric vehicles.Ī day after revealing its financials and making its case for its restructuring, the company announced that its $5.6 billion BlueOval City complex outside of Memphis, Tennessee will include a truck plant capable of producing 500,000 electric vehicles a year.

Ford lost about $3 billion on its Model e business over the past two years and isn’t expected to be profitable (on an adjusted basis that removes costs like taxes) until late 2026 with an 8% operating profit margin. The big takeaway? Profits generated from selling internal combustion engine-powered trucks, cars and SUVs have helped, and will continue to help, drive Ford’s push into EVs.įord restructured the company and broke it into three segments: Ford Blue for its internal combustion and hybrid vehicles, Ford Pro for the commercial business and Ford Model e, which covers electric vehicles, advanced driver assistance systems and digital services.įord restated earnings for 20, which was illuminating to say the least. The move provides a new level of transparency into what business sector is - and is not - profitable at Ford. The big news this week was Ford lifting the hood on how the newly restructured 119-year-old company will operate and, importantly, report its financials.

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Avs4you video editor