Ford Model e Reports $1.1 Billion Q3 Loss
The automaker saw division revenue decline as it manages ongoing costs and shifts in electric vehicle production.
Updated on Oct. 29, 2026 in Electric Vehicles
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Ford recorded a $1.1 billion loss for its Model e electric vehicle division during the third quarter of 2026, which ended September 30. Despite this loss, the result represents a 25% improvement compared to the same period in the previous year.
Why it matters
Ford is restructuring its EV business to improve capital efficiency and better integrate software-defined vehicle operations. The company aims to streamline its development processes while working toward an eventual break-even point for the division by 2029.
Model e revenue totaled $1.2 billion for the quarter, a 31% decline from the prior year, with wholesale volumes reaching 34,000 units. Ford projects a total annual loss of $4 billion for the division, while targeting $10.5 billion to $11 billion in total profit.
The players
Ford
Ford is a global automotive manufacturer based in the United States that is currently undergoing a significant transition toward electric and software-defined vehicle production.
The details
Lower wholesale volumes were driven by the end of F-150 Lightning production in late 2025 and decreased output for the Mustang Mach-E. Ford is now prioritizing structural cost reductions as it prepares for the return of the F-150 Lightning as an extended-range electric vehicle in 2027.
Timeline
Ford established the Model e division in 2022.
F-150 Lightning production ended in late 2025.
The Model e division reported a $1.1 billion loss for Q3 2026.
The F-150 Lightning is scheduled to return as an EREV in 2027.
Ford expects its EV business to break even by 2029.
Roadmap
Ford's strategy mirrors a broader industry transition toward balancing immediate profitability with the capital-intensive rollout of electric platforms. The automaker is positioning its upcoming Fathom pickup to compete in a market increasingly defined by aggressive pricing and manufacturing efficiency.
Prospective buyers can expect more affordable entry-level options like the Fathom pickup to arrive at a $28,350 starting price by 2028. Meanwhile, current Ford EV owners should remain aware that the company is transitioning its technology focus to software-defined vehicle operations.
The takeaway
Ford's commitment to reaching an EV break-even point by 2029 highlights the long-term nature of the transition to electric fleets. Consumers can look forward to new vehicle options like the upcoming Fathom pickup as the company refines its production model.
What happens next
Ford plans to launch the Fathom midsize electric pickup for the 2028 model year with a starting price of $28,350.
Further reading
For more information on the industry, visit the Electric Vehicles section.
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