After it debuted for the 2021 model year, the first-ever Ford F-150 hybrid – otherwise known as the PowerBoost – immediately became a smash hit with consumers, which makes sense given its high level of output, towing and hauling capability, and lineup-leading fuel economy ratings. Ford CEO Jim Farley later admitted that the popularity of the Ford F-150 hybrid took the company by surprise, and it wasn’t long before a sizable chunk of that model’s production was electrified. Turns out, that success is good for Ford in more ways than one, as the F-150 hybrid produced more in the way of profit than ICE variants, too.
“I think for the continuity to give customers freedom of choice and put out our capital behind,” Ford CFO Sherry House said at the recent Wolfe Research Auto, Auto Tech and Semiconductor Conference. “So if you think about hybrid powertrains you can see us continuing to invest there and other types of multi-energy propulsion systems where we expect that the returns that we would get would really be much better, you can see the premiums that we’re able to get on the hybrid, for instance. So being very smart about where those investments are that the return is going to follow.” “Our hybrid margins are now higher on F-150 than our ICE margins. I’m not sure I ever thought that would happen,” Farley added.
Couple the popularity of hybrids like the F-150 with the fact that they’re also relatively inexpensive to develop and produce – as Farley previously admitted – and it makes perfect sense that the automaker would want to continue expanding its offerings in that regard.
Last summer, Farley noted that certain Ford hybrids were more profitable than traditional gas models, and that lineup only figures to not only grow, but also evolve in the coming years. In fact, as Ford Authority recently reported, The Blue Oval plans to offer an array of extended-range electric vehicles (EREV) in the near future, too.
Comments
One problem, hybrid is unreliable piece of poo!
And it’s still better than your Toyota Tundra Hybrid
He’s been saying a lot.
What you say has been proven true, yes. However, should they be able to manage their quality I, for one, would be an adopter. Design-wise, I love it. Performance and economy, plus F150 capability. However, I’d jump even faster at the powerboost expedition, should they ever get off their butts and manufacture it.
“Our hybrid margins are now higher on F-150 than our ICE margins. I’m not sure I ever thought that would happen,” Farley added.
If He didn’t establish / know that fact before the program was taken to the Board for approval, suggests…respectfully….He’s pretty clueless on what His company is doing and how it justifies product programs.
He may have been referring to the fact that development costs were actually lower than predicted which is something you don’t really know until you start the process. Just suggesting a less drastic point of view than “he’s clueless”.
Now, let’s develop a Ranger Lariat Powerboost AWD for < $ 50K.