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Ford earns $17.9 billion in 2021, underpinned by a large return on its Rivian stake.

On Thursday, Ford Motor said it had made a hefty profit in 2021 thanks to strong profits from holding a fledgling electric vehicle maker and higher output in the second half of last year.

The automaker also said the shortage of computer chips that slowed vehicle production last year is easing.

On a conference call, Ford’s chief financial officer, John Lawler, said the company expected to continue to face tight chip supplies and supply chain disruptions because of the Omicron variant of the coronavirus in the quarter. first of this year.

“We saw things improve dramatically after that,” he said. Chipmakers have been working to add production capacity for automotive chips “which will start to appear online in the second half of the year”, he added.

Ford earns $17.9 billion in 2021, rebounding from a loss in 2020. It was helped by a $9.1 billion gain from the value of its stake in Rivian, a manufacturer electric truck production. Rivian complete initial public offering in the fall and its shares rallied after the start of trading, although it has fallen sharply since mid-November.

Ford reported $136 billion in revenue, up from $127 billion in 2020. This was the second year in a row that Ford ended the year with more revenue than General Motors.

Ford said it expects profit before certain expenses to grow 15% to 25% this year.

Ford is looking to a new electric pickup to boost sales in 2021. The truck, the F-150 Lightning, will enter production in the next few months and Ford says it has received more than 200,000. pre-orders from customers. The company is also about to sell an electric delivery van that has attracted strong interest from its fleet and corporate customers.

“Our first wave of electric vehicles was hugely popular and they are bringing in new customers for Ford,” Mr. Lawler said.

Established automakers are racing to deliver new electric vehicle models to compete with Tesla, which sold nearly a million vehicles globally last year, nearly double that of the previous year.

The F-150 Lightning could pose serious competition to Tesla because it’s based on a conventional van with a large customer base – it’s the best-selling vehicle in the US – and Tesla has yet to make a car that sells. load.

Ford hopes to produce 60,000 or more Lighting pickups this year and 150,000 a year by 2024.

https://www.nytimes.com/2022/02/03/business/ford-earnings.html Ford earns $17.9 billion in 2021, underpinned by a large return on its Rivian stake.

Fry Electronics Team

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