Ford Motor(US:F)2022-03-08 21:22Summary of Ford Motor Company Conference Call Company Overview - Company: Ford Motor Company (NYSE:F) - Event: Exane-Jefferies Spring Automotive Conference - Date: March 8, 2022 - Participants: Hans Schep (General Manager Commercial Vehicles, Ford Pro), Philippe Houchois (Jefferies), Stuart Pearson (Exane) Key Points Industry Position and Market Share - Ford is the number one commercial vehicle brand in Europe for the last seven years, dominating the pickup segment with over 40% market share [6][4] - In 2021, Ford was the number one brand in 9 out of 20 markets in Europe, with strongholds in the UK and Turkey [6][4] Strategic Developments - The creation of Ford Pro has been pivotal in enhancing Ford's commercial vehicle business, focusing on customer needs and operational efficiency [4][11] - Ford has revitalized its product portfolio over the last 10 years, launching new products and dedicated Ford Transit Centers to cater to commercial customers [7][8] Ford Pro and Global Strategy - Ford Pro is a global business that integrates vehicles and services, including both internal combustion engine (ICE) and battery electric vehicles (BEV) [13][16] - The initiative aims to provide a holistic capability for customers, including telematics, financing, and charging solutions [15][16] Revenue and Profitability - Ford Pro's revenue potential is significant, with estimates around $45 billion globally [17][18] - From 2023, Ford will provide more detailed disclosures on the profitability of Ford Pro [18] Electrification and Sustainability - Ford aims to be carbon neutral globally by 2050, with a target for its commercial vehicle lineup to be zero emission capable by 2024 [23][24] - By the end of the decade, Ford expects that 70% of its sales will be zero emission vehicles in Europe [24] Challenges and Market Dynamics - The company anticipates ongoing supply chain challenges and component shortages, particularly in the first half of 2022 [31] - Ford has seen 5% price increases in the commercial vehicle market, with strong demand allowing for continued pricing power [41][43] Competitive Landscape - New entrants in the market primarily focus on last-mile delivery, which represents only 10% of use cases in Europe, while Ford offers solutions for the remaining 90% [52] - Ford's partnership with Volkswagen is seen as beneficial for scaling manufacturing and developing future solutions [29] Charging Solutions - Ford has acquired Electriphi, a company specializing in depot charging software, to enhance its charging services for customers [54] Conclusion - Ford is positioned strongly in the commercial vehicle market with a clear strategy focused on electrification, customer service, and leveraging partnerships to maintain its competitive edge [11][29]