Ford recently experienced a significant increase in electric vehicle (EV) sales, marking a notable turn of events following a challenging Earnings Call regarding its electrification plans. In April, the company saw a remarkable 129.2 percent surge in EV sales compared to the same month last year.
This growth was primarily attributed to the heightened interest in the Mustang Mach-E, which witnessed a substantial 204.7 percent increase in sales within the same timeframe. The remarkable spike in sales resulted in Ford selling 8,019 EVs in April 2024, a stark comparison to the 3,499 sold in the preceding year.
The E-Transit also contributed to this success, with 1,036 units sold. Furthermore, all EVs within Ford’s lineup experienced a minimum of 56 percent growth in sales compared to the previous April.
In addition to its EV success, Ford also achieved a record in hybrid vehicle sales, reflecting the growing interest in this powertrain. In April, the company sold 17,997 hybrid vehicles, setting a new monthly record.
Despite the positive trends, Ford is still addressing challenges related to EV demand throughout its lineup. The company emphasized its commitment to achieving profitability with its Model e unit during its recent Earnings Call, despite encountering losses in the first quarter.
Ford has adjusted its investment strategy, reallocating funds from a previously planned $10 billion investment in EVs to a revised range of $8 billion to $9 billion. Emphasizing a focus on profitability, CEO Jim Farley noted the company’s intention to prioritize affordable EV models while reducing capital expenditure on larger EVs.
This strategy aligns with a new skunkworks team led by a former Tesla alumnus, illustrating Ford’s commitment to strategic and disciplined investment in the EV market. Additionally, the company aims to concentrate its efforts on specific geographies and product segments where it holds a dominant advantage, such as trucks and vans.