OT: Electric vehicles
- Thread starter BellyFullOfWhiteDogCrap
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From a corporate accounting perspective, this question answers itself.
The acting comes in when they point to the legacies losing money on EV's in the early days of production as a sign that they can never produce EV's at a profit.
Ford is s'ing the bed on EVs:
Ford (F) unveiled its new financial reporting structure ahead of Thursday's teach-in event. Ford Model e (the EV business) lost about $2.1 billion in adjusted EBIT (earnings before interest and taxes) in 2022, and management sees the loss rising to about $3 billion this year.
Not sure, but this is likely the rosiest scenario F could come up with and it still looks awful.
There's acting on both sides.
Some think it's a foregone conclusion that legacy will successfully make this transition. GM has been in the EV game for 7 years.
2022 production:
Bolt 44k
Hummer <1k
Lyric <200
In the red on all.
Are they still in the "early days"?
In terms of the Hummer and Lyric, obviously.
And in general, yes, of course.
The bull case on TSLA, and the reason it sells at such a high multiple, is that it too is still in it's early days. So yes, the companies that are coming late to the party, are very much in their early days of EV.
Meh, they could be taking the losses early so as to show profitability later.
Put things in perspective. When did Tesla announce CT and where are they with it? They are the leader in EV. Surly they can ramp quickly on a new product.
That’s not bad if they can do it. It only took Tesla 15+ years to turn a profit.
Those that have the space will likely do both for some time to come, I would think.
Would make sense. Wawa and quick check seem to be adding them at all of their gas stations quickly
Wish Porsche would cut prices. But nope.
Freaking Porsche is rumored to be raising prices across their product range by 20% soon. I’m about to put a deposit in an GT3 allocation. But my place on the wait list puts its availability an estimated two years out. It’s the long wait lists with people paying huge ADMs over MSRP to dealers that make the massive price hike possible.
A 20% increase will suck. Maybe Tesla’s price drops will put Porsche under pressure to leave their EV range where it’s at price-wise.
Model 3 leading pack of used car pricing drops.
Seems like a good investment if you own a gas station. More convenience store money to be made off EV owners.
That’s a good point. Food places and maybe other entertainment places. Maybe drive-in theaters will make a comeback.
This is a lovely concept. An EV convertible.
Afford price cuts? Better be careful. Next thing you know lower margins means it’s just another car company.
The Toyota of EVs. Been saying it for awhile now.
Maybe not quite the build quality. Yet. But the volume thing for sure. And even Tesla has been exterior styling than Toyota, IMO.
Guy trolled himself on that one.Yes. But can Tesla afford to raise prices? LOL.
This is a fun game.
My guess is that question will be answered next month when TSLA reports its earnings. I expect an increase in sales but margin deterioration. Will the market forgive lower margins for higher sales? My guess is "no" in the short term, but long term, the more Tesla cars that are out there, the higher the profit.
Turn into? I don't know about that, but incorporating chargers at gas stations? Sure.
The price drop was short lived. Tesla increase the prices as soon as they qualified for the tax credit. Plus, they’ll just book more tax credit to boost margin. I think they will have a decent quarter unless China comes in super weak.
No. They don't. Stop being f*cking stupid.
Ford is projecting an increase in losses from its EV unit, labeled Model e, up from $2.1 billion last year to total nearly $3 billion in 2023. "Ford Model e is an EV startup within Ford. As everyone knows, EV startups lose money while they invest in capabilities, develop knowledge, build volume, and gain share." (John Lawler, Ford CFO) The company is planning the construction of two new battery-cell factories in Kentucky and a third in Tennessee, along with the $3.5 billion lithium-iron-phosphate battery plant it will build in Marshall, Michigan. - Car & Driver