On July 25th, Ford Motor Company released its Q2 2024 financial report. Data shows that in the second quarter of this year, Ford Motor Company's revenue reached $47.8 billion, net profit was $1.8 billion, and adjusted pre tax profit was $2.8 billion. Despite achieving profitability, it fell short of expectations. As a result, Ford Motor Company closed down more than 18% on Thursday, marking its largest daily decline in over 15 years.
Ford Motor Company has divided its business into two major business units: fuel vehicles and electric vehicles. In terms of fuel vehicle business, hybrid vehicle sales increased by 34%, accounting for nearly 9% of Ford's global car sales.
Dragging behind is the electric vehicle business unit. Ford Motor Company stated that its current electric vehicle models in the electric vehicle business unit faced downward pressure on industry prices and a decline in wholesale volume in the second quarter. Although the business unit reduced costs by $400 million compared to last year, its pre tax profit still lost $1.1 billion.
Due to sustained downward pressure on prices and investment in future electric vehicle products, Ford's electric vehicle business unit is expected to maintain a full year loss of between $5 billion and $5.5 billion.
Comment:
Selling one new energy vehicle and losing one, it seems that this is not unique to Chinese car companies. As of now, only BYD, Tesla, and Ideal have achieved profitability solely through their new energy vehicle business. The good news is that with the acceleration of autonomous driving in the first half of this year, new energy vehicle companies have entered the fast lane of development by investing heavily in "software", which is expected to become a new growth point for their revenue.
Text and pictures/Guangzhou Daily Xinhua City Reporter: Zhou Weili