Ford Motor’s electric vehicle unit, Model e, reported a $5.1 billion loss in 2024, exceeding the previous year’s deficit as sales and revenue in the segment declined. In response, the automaker is making leadership changes to steer its EV division toward profitability.
Global EV sales for Ford fell 9% year-over-year to 105,000 units, with Model e revenue dropping 35% to $3.9 billion. In contrast, Ford Blue, the company’s internal combustion vehicle division, sold 2.86 million units, while its commercial vehicle arm, Ford Pro, delivered 1.5 million vehicles, including some electric models such as the E-Transit.
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Despite the global downturn, Ford’s U.S. EV sales showed resilience. The Mustang Mach-E posted a 27% increase to 51,745 units, making it the second-best-selling electric SUV in the country behind the Tesla Model Y. Sales of the F-150 Lightning pickup rose 39% to 33,510 units, while the E-Transit van saw a 64% increase with 12,610 deliveries. Including hybrid and plug-in hybrid models, Ford sold 285,291 electrified vehicles in the U.S., a 38% rise. However, EVs accounted for just 4.7% of Ford’s total sales, and the company trailed General Motors in pure EV volume, with GM selling 114,432 units in 2024.
In response to mounting losses, Ford has scaled back EV investments, delayed several models, and suspended F-150 Lightning production in November due to quality concerns. To revamp Model e, Ford has appointed Andrew Frick, previously head of Ford Blue, to lead the EV unit. Kay Hart, former head of Ford’s International Markets Group, will serve as General Manager of Model e.
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“The Model e team will remain laser-focused on delivering a profitable EV business as we launch our next-gen vehicles and solve for the unique needs and experiences of EV customers,” Frick said in a statement.
Ford reported $1.4 billion in cost savings for Model e last year, but forecasts another loss of $5 billion to $5.5 billion for 2025. The automaker continues to refine its EV strategy amid challenges in scaling production and demand.