Ford's stock gains after car maker announces plan to expand hybrid EV offering

By Ciara Linnane

Ford expects to start consumer deliveries of all-electric truck in 2026

Ford Motor Co.'s stock (F) rose 1.5% early Thursday, after the car maker said it's expanding its hybrid electric vehicle offering in response to growing demand.

"By the end of the decade, the company expects to offer hybrid powertrains across its entire Ford Blue lineup in North America," the company said in a statement.

In the first quarter, the company's EV sales rose 86%, while hybrid sales rose 42% from the year-earlier period.

The company is also retiming the launch of EVs at its Oakville, Ontario plant to 2028 from 2025, while building out an advanced system to produce next-generation EVs. The plans include greenfield construction and the conversion of existing assembly plants.

The extra time will allow for the consumer market for three-row EVs to further evolve and allow Ford take advantage of emerging battery technology.

Ford is expecting to start consumer deliveries of its next all-new electric truck in 2026 and to ramp up production at its Tennessee Electric Vehicle Center assembly plant at a campus called BlueOval City.

"In addition to paint shop and vehicle assembly equipment, installation is also underway for nearly 4,000 tons of stamping equipment that will produce the sheet metal stampings for Ford's next all-new electric truck," the company said.

The company further plans to continue expansion at its Ohio Assembly Plant in Avon Lake where it will produce a new electric commercial vehicle for Ford Pro customers, starting mid-decade. Tool installation is expected to start at that plant in 2025.

Separately, a team in California is working to develop a smaller, low-cost, profitable, flexible EV platform that can produce cars at high volumes.

The stock has gained 12% in the year to date, while the S&P 500 has gained 9%.

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-Ciara Linnane

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04-04-24 0854ET

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