Here's How Ford Plans to Boost Its Margins
In a recent fireside chat, Ford's (NYSE: F) CEO Jim Farley said that seeing Tesla's (NASDAQ: TSLA) second-quarter results last year was an "epiphany" for him. He realized that electric vehicles can make more money for Ford than its internal combustion engine (ICE) offerings.
Although Ford is more focused on the commercial vehicles, SUVs, and crossovers -- products that Tesla doesn't offer yet -- the century-old automaker is willing to learn all that can help it stay relevant.
In Q2 2021, when Farley experienced an epiphany, Tesla reported a net profit margin of 9.6%. By comparison, Ford's margin was 2.1% for the quarter. What's more, Tesla's margins continued to grow after that.
Source Fool.com
