Ford Motor Company has reported first-quarter earnings that exceeded analyst expectations, with overall revenue rising 3% to $42.8 billion. However, their electric vehicle (EV) revenue fell by a significant 84% due to pricing pressure. Despite this setback, Ford saw a significant surge in EV sales, with a remarkable 86% increase in the first three months of 2024.
The F-150 Lightning remained the top-selling electric pickup in the US, while the Mustang Mach-E ranked as the second best-selling electric SUV. Ford’s commercial Pro unit also experienced a 40% rise in EV adoption, with E-Transit sales skyrocketing by 148% in Q1. This growth has propelled Ford to second place in the US EV market, excluding Hyundai and Kia sales.
Despite the positive sales figures, Ford has decided to push back EV production at the BlueOval City facility to 2026 and delay the launch of its three-row electric SUV. The company aims to focus on developing smaller, more affordable EV models instead. In addition to their electric lineup, Ford is planning to introduce more hybrid vehicles as they work on their next-generation electric models.
Ford reported a net income of $1.3 billion and an adjusted EBIT of $2.8 billion for the first quarter. However, their Ford Model e revenue saw an 84% decline, resulting in an EBIT loss of $1.3 billion. Despite this, Ford maintains its full-year EBIT guidance and has raised expectations for adjusted free cash flow after implementing cost-cutting measures.
To promote their gas, hybrid, and EV lineup amid this strategy shift, Ford has launched a new brand campaign called “Freedom of Choice.” The campaign aims to highlight the variety of vehicle options offered by Ford as they continue to innovate in the EV market.
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