Ford Motors reported total quarterly revenue of $42.8 billion in the first quarter of 2024, which was 3% higher compared to the first quarter of the prior year.

Net income of the company in the first quarter of 2024 was $1.3 billion, down $0.4 billion compared to the same quarter of the prior year.

Ford Motors also reported company adjusted EBIT of $2.8 billion or $0.6 billion lower compared to the same quarter of the prior year.

The results from the first quarter of 2024 showed that Ford’s segmented, customer-centered strategy is paying off. Ford has segmented its business into three lines including Ford Blue, Ford Pro, and Ford Model E.

Ford experienced a slight decline in shipments which were down 11 thousand wholesale units in the first quarter of 2024 compared to the same quarter of the prior year.

Ford delivered a total of 1,045,000 units in the first quarter of 2024 compared to 1,056,000 wholesale units in the same quarter of the prior year.

According to CEO Jim Farley, Ford is giving its customers what they expect in terms of quality, value, and performance in ways that others cannot and creating a company that will lead in the long haul.

In the first quarter of 2024, Ford Pro generated $18 billion in revenue which was 36% higher compared to the same quarter of last year. EBIT of the segment remained $3 billion.

Higher production of super duty trucks and transit vans drove faster growth across the Ford Pro segment.

More and more commercial customers are electrifying their vehicle fleets with support from Ford Pro. The United States Postal Service is expected to buy 9,250 E-Transit vans through the end of 2024. Ecolab, the global sustainability company, is projected to buy more than 1,000 F-150 Lightning pickups and Mustang Mach-E SUVs.

About 13% of Ford Pro’s EBIT over the previous 12 months till the first quarter of 2024 came from software or physical services including parts and accessories. Ford has set a goal of increasing it to 20% over the next few years.

By the end of the first quarter of 2024, software subscriptions with commercial customers had grown by 43% year on year to more than 560,000 at the end of the quarter.

Quarterly wholesales, revenue, and EBIT for Ford Blue declined in the quarter, due to the production ramp and vehicles in inventory of the new 2024 F-150 pickup. Now, the vehicles in inventory are being delivered to customers and dealers.

Ford’s revenue from the Ford Blue segment remained $21.8 billion and EBIT about $900 million.

Sales of Ford Blue’s hybrid vehicles grew by 36% and are expected to grow to 40% for the full year 2024. In the first quarter of 2024, the compact Ford Maverick was the number one best-selling hybrid truck in the USA.

Revenue of the Ford Model E segment declined in the first quarter of 2024 as wholesale deliveries declined. Significant pricing pressure across the industry affected the electric vehicle models in the market.

The segment experienced an EBIT loss of $1.3 billion. EV costs are expected to improve but be offset by the revenue growth-related pressure.

Ford has partnered with Tesla to make more fast-charging points available to its customers in the US. The customers have started receiving fast-charging adapters providing access to more than 15,000 Tesla superchargers across America and Canada.