Posted on 03/22/2023 10:50:40 AM PDT by Oldeconomybuyer
DETROIT – Ford Motor is about to tell investors what they’ve long wondered: How much is the transition to electric vehicles costing?
The automaker on Thursday plans to begin reporting its financial results by business unit, instead of by region, ushering in the new reporting structure with a “teach-in” for analysts and media.
Deutsche Bank analyst Emmanuel Rosner believes Ford could be incurring gross losses of about $9,000 per EV sold. The analyst expects Ford to reveal Thursday Model e operating losses of $6 billion for 2022. That’s after accounting for significant research and development investments — roughly 65% of the company’s total R&D — into the EV unit.
“The EV business could report much deeper losses than investors expect, which could make Ford’s target for 8% EV EBIT margin by 2026 particularly difficult to achieve,” Rosner said Monday in an investor note.
Aside from EV leader Tesla, no major automakers are expected to generate meaningful profits from electric vehicles for at least several years, as the industry works to increase EV output and manufacturing scale. That’s particularly true of EVs like Ford’s, as mass-market vehicles typically generate lower profits than luxury models.
(Excerpt) Read more at cnbc.com ...
Isn’t there someone working at Ford who saw this coming?
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There probably WAS.
Progressive fantasy dreams die hard.
They DO make a plug-in hybrid in several models. The smartest way to go “EV” there is.
EV's driven by cool black people.
Toyota is being forced to go electric-if it wants to sell in Europe.
“Petrol”? Where are you from?
“”Remember when these guy’s job number one was to built the best affordable GAS pickup truck in the world?””
In the not too distant future, there will be tens of thousands of F-150s that will keep running and running and running. Heck, eventually the F-150 could be like the ‘64, ‘65 Mustang. What a car!
U sound like you like this.
EV battery costs could spike 22% by 2026 as raw material shortages drag on
There was a point 50 years ago when it appeared that a lack of oil might eventually make the ICE obsolete. That was one reason. Of course, that notion has been blown to hell. I’m going take a guess and say the main reason is the fact that generations of green cronies have been getting filthy rich promoting the battle.
Nah, just observing the world around me.
Ford can not continue like this. And no, we will NOT bail them out. We ALL are going to have to draw a line somewhere, or the government will take everything we own and give it to people who make bad decisions.
“Excuse me, General, sir, but may I point out that several U.S. States and most of the European Union decided to adopt targets dates (most frequently 2035) to phase out ICE vehicles first, then every manufacturer decided to go electric.”
Germany had phased out its coal power plants and nuclear reactors. That was never going to work either as they’d become dependent on coal power produced in other countries. Periodically, governments do stupid things. Germany has brought their coal plants back online and are extending the nuclear plants. Fortunately, the market corrects governments. By 2035 I expect fewer electric vehicles, not more. They simply are not practical.
I said petrol to cover gas and diesel. A lot of Ford trucks are diesel.
I’m tired of paying for other people’s graft, corruption and general dumbassery. . . .
If they’re losing nine grand on each sale, I’ll be happy to save them $4,000 if they’ll pay me $5,000 not to buy one.
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