DETROIT — Ford Motor Co. last week confirmed what many had long assumed: Its electric vehicles are big money-losers — for now.
But in re-segmenting its earnings reports to disclose profits and losses for its electric, internal combustion and commercial vehicle businesses, the automaker is giving Wall Street a more detailed road map of what makes it successful today and how it plans to become an EV leader in the future.
Ford said its EV business unit, called Model e, is expected to lose $3 billion (all figures USD) this year. That contrasts with forecasts of $7 billion in earnings before interest and taxes for the combustion unit and $6 billion for its commercial business.
The projection would bring the total amount lost on EVs to $6 billion from 2021 through 2023.
Still, the company stood by its goal of earning an eight-per-cent profit margin on EVs — and 10 per cent overall — by the end of 2026.