A robot works on a Ford pre-production all-electric F-150 Lightning truck prototype in Dearborn, Mich.
Photo: REBECCA COOK/REUTERS
Ford F -4.90% Motor Co. is planning a major reorganization of its operations to create two separate divisions—one for its conventional gas-engine business and another to focus on developing electric vehicles and software, the auto maker said.
Ford plans to keep both operations in-house but give them separate names and their own leadership structures and profit-and-loss statements, it said Wednesday. The move is scheduled to be outlined later Wednesday during a press conference.
The company also revised upward its projection of EV production and profitability. It expects half of global sales to be electric by 2030, compared with a previous target of 40%, and it lifted its forecast for operating-profit margin to 10% by 2026, from a prior goal of 8%.
The plan represents one of the company’s boldest steps yet under Chief Executive Jim Farley to speed development of new battery-powered models. It also comes as investors are driving up the valuations of Tesla Inc. TSLA -0.70% and other young auto startups that aren’t encumbered by a legacy business and are focused solely on selling electric vehicles.
(More to come)
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