Ford loses almost 3,000 million euros for its investment in the electric car startup Rivian

The American group Ford obtained net losses of 3,110 million dollars (about 2,952 million euros at current exchange rates) during the first quarter of this year, compared to the 3,262 million dollars (3,097 million euros) that it earned in the same period of the preceding fiscal year.

The manufacturer based in Detroit (Michigan) attributes these results, mainly, to the losses of 5,400 million dollars (5,125 million euros) derived from the investment in the electric car firm Rivian Automotive.

Earlier this year, Rivian lost some $75 billion of its market value, down 52% from its Nasdaq high, after Amazon agreed to buy electric vans from Stellantis.

The company went public at 78 dollars (74.08 euros) per share and managed to raise 11,900 million dollars (11,303 million euros) with said operation.

Despite everything, the CEO of the oval consortium, Jim Farley, explained that the company is tackling the problems in the supply chains to bring more Ford vehicles to more customers “as quickly as possible.”

Specifically, the company invoiced 34,476 million dollars (32,746 million euros) between January and March, 4.84% less than the 36,228 million dollars (34,410 million euros) that it entered in the same months of 2021.

Of the total, the automotive division entered 32,111 million dollars (30,501 million euros), 4.3% less, while Ford Credit entered 2,281 million dollars (2,166 million euros), 14.34% less, and its Mobility division had a turnover of 84 million dollars (79 million euros), 663% more.

At the same time, Ford’s pre-tax loss in the first quarter amounted to 3,848 million dollars (3,655 million euros), compared to earnings of 3,942 million dollars (3,744 million euros) in the first three months. of the year.

Looking ahead to the end of 2022, the company anticipates an adjusted operating profit of between 11,500 and 12,500 million dollars (between 10,926 and 11,877 million euros), while the adjusted free cash flow for the year is between 5,500 and 6,500 million euros. dollars (5,225 and 6,175 million euros).

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