silvrsvt Posted February 14 Share Posted February 14 https://fordauthority.com/2024/02/future-ford-evs-will-be-profitable-12-months-after-launch/ “Our overall EV strategy has never been more relevant as the seismic change happens, and we want to share with you our targets,” Farley said. “Our next Gen 2 products will be profitable in the first 12 months of their launch. And that will mean that we’ll get to mid-to-high single-digit EBIT profit margins over their life cycle, and that’s going to deliver profits above Model e’s cost of capital. And here are our big bets and adjustments. We’re going to spend less capital on larger EVs. And as we’ve always said, we’ll have a very small number of those. Just to show that all the losses being occurred on Model E at the moment are due to spinning up everything like BOC and battery plants. 2 Quote Link to comment Share on other sites More sharing options...
Harley Lover Posted February 14 Share Posted February 14 2 hours ago, silvrsvt said: https://fordauthority.com/2024/02/future-ford-evs-will-be-profitable-12-months-after-launch/ Just to show that all the losses being occurred on Model E at the moment are due to spinning up everything like BOC and battery plants. It doesn't show that at all. BOC and the battery plants might represent expenditures of cash, but in terms of profit/loss, they are depreciable assets that do not fully contribute to Model E losses. Most of Model E's losses are being generated by the operation of the Lightning plant in Michigan and the Mach E plant in Mexico (presumably both plants' operation costs are being billed to Model E), and obviously by the loss leader sales of those 2 products. Quote Link to comment Share on other sites More sharing options...
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