Ford Motor mentioned Thursday its electrical car enterprise misplaced $2.1 billion final yr on an working foundation, a loss that was greater than offset by $10 billion in working revenue between its inside combustion and fleet companies.

The Detroit automaker expects 2023 to unfold alongside comparable traces, forecasting an adjusted lack of $3 billion for its EV unit, adjusted earnings of about $7 billion for its inside combustion unit, and adjusted earnings of roughly $6 billion for its fleet enterprise.

The financials are the primary detailed take a look at unit profitability as Ford unveils a brand new monetary reporting construction that goals to offer Wall Road a greater understanding of how its electrical car enterprise is evolving — and the way earnings from its inside combustion companies are funding its electrical transformation.

The reformatted stories observe a sweeping reorganization, introduced in March 2022, that divided Ford’s international enterprise into 5 enterprise items: “Ford Blue,” its conventional inside combustion engine enterprise; a brand new “Ford Mannequin e” electrical car unit; “Ford Professional,” containing its business and authorities fleet enterprise; “Ford Subsequent,” which incorporates nonautomotive mobility options and different future tech; and its current Ford Credit score monetary providers subsidiary.

“We have basically ‘refounded’ Ford, with enterprise segments that present new levels of strategic readability, perception and accountability to the Ford+ plan for progress and worth,” CFO John Lawler mentioned in a information launch. Lawler mentioned the brand new reporting construction is a mirrored image of how he, CEO Jim Farley, and different senior Ford executives are actually desirous about and working Ford’s companies.

Ford on Thursday shared variations of its 2021 and 2022 monetary outcomes that had been restated in accordance with the brand new format to offer analysts and buyers a foundation for comparability going ahead. These revised outcomes present that whereas Ford Mannequin e, the corporate’s EV unit, misplaced $2.1 billion final yr, Ford Blue and Ford Professional generated $6.8 billion and $3.2 billion of adjusted working earnings, respectively.

These 2022 Mannequin e losses greater than doubled unit losses from 2021, as the corporate continues to ramp up EV manufacturing.

Ford reiterated Thursday that it expects to be constructing EVs at a charge of two million per yr by the top of 2026. It hopes to realize a ten% revenue margin on an EBIT foundation by that point, with an 8% adjusted EBIT margin for Ford Mannequin e.

Earlier than the restructuring was introduced, some Wall Road analysts had urged Ford to spin off its EV enterprise. However Farley and different executives argued that retaining the EV unit in home permits it to attract on the prevailing manufacturing experience and different strengths now housed in Ford Blue and Ford Professional. This offers it a major benefit over so-called “pure play” EV startup firms which have needed to create manufacturing bases from scratch, they mentioned.

The corporate hopes that the brand new monetary reporting construction will assist analysts and buyers perceive how worthwhile its core inside combustion companies are, whereas making it simpler to trace the progress of Ford’s overhaul over time.

Ford will maintain a “teach-in” to elucidate the brand new reporting construction to buyers and analysts at 10 a.m. ET on Thursday. A stay webcast of the occasion will probably be made obtainable at Ford’s investor relations website.

The automaker will report its first-quarter outcomes Could 2 and can present a deeper dive into its technique and the progress of its restructuring efforts at its annual Capital Markets Day on Could 22.