Ford revealed their fourth quarter and full year earnings yesterday, while also shedding light on future models. There’s a lot to unpack, so let’s dive right in.

Speaking during the earnings call, Ford CEO Jim Farley said hybrid trucks are a key growth area and give the automaker “pricing power” thanks to features such as Pro Power Onboard. The system turns pickups into mobile power stations that can generate electricity for job sites, camping or emergencies.

More: 2025 Ford Maverick Gets AWD Hybrid, Bigger Screen, And Tremor Trim

Farley went on to say automakers are embracing hybrids and they’re expecting to see aggressive growth. This includes in the truck segment, where “customers … are learning that a hybrid can also mean uncompromised towing and torque and payload and other performance advantages, including fuel economy.”

While electric vehicle adoption has been slower than many companies were expecting, Farley sounded upbeat and said they’re “deep in the development of our next-generation of vehicles that we believe will be affordable, high volume and great for our business.” He went on to say the “sweet spot” in America is small- and medium-sized trucks and crossovers, which are used for commuting or as a second vehicle.

In essence, vehicles that aren’t used on long trips. As Farley explained, they can use smaller and cheaper batteries, which will enable them to be offered to consumers at lower prices. This should help to increase adoption and electrify sales.

On the flip side, Farley said large electric utility vehicles have “unresolvable” economics. Hyundai and Kia would probably beg to differ, but Ford axed their three-row electric crossovers in 2024.

Farley didn’t talk specifically about their deaths, but said large electric crossovers have terrible aerodynamics as well as very large and expensive batteries. On top of that, he claimed customers won’t pay a premium for them. He might have a point as a quick search reveals a number of Kia EV9s being offered with discounts well in excess of $10,000.

One surprising development was the revelation that Ford is going to embrace range-extended vehicles. Stellantis is already going down that road with the Ram 1500 Ramcharger and Farley appears to think they’re headed in the right direction.

He noted range-extended vehicles can “get over 700 miles (1,127 km) of range, but still drive most miles all electric.” Farley added they give customers an electric experience without range anxiety as well as an “electric vehicle that’s fully comparable to an ICE vehicle in terms of cost.”

The executive went on to say range-extended vehicles can use smaller batteries that have a range of around 150 miles (241 km), because there’s a generator onboard. This stands in contrast to traditional EVs, where you need a big and expensive battery to deliver around 300 to 350 miles (483 to 563 km) of range. That might not sound like a huge difference, but Farley said “you’re talking about tens and tens and tens of thousands of dollars.”

Given this, Ford is eyeing extended-range powertrains for certain vehicles. He said this is part of a larger multi-energy strategy and this should result in a powertrain to suit everyone.

Farley also briefly touched on the brewing global trade war, saying a 25% tariff on Canada and Mexico “would have a huge impact on our industry with billions of dollars of industry profits wiped out” in a protracted scenario. The executive also confirmed customers would be forced to pay higher prices.

Now that the fun and interesting stuff is out of the way, let’s take a brief look at the company’s 2024 results. Revenues climbed 5% to $185 billion, but their electric Model e division posted a loss of $5.1 billion as developing EVs and building battery plants isn’t cheap.

While the EV loss is eye-catching, the company declared a first-quarter regular dividend of $0.15 per share as well as a supplemental dividend of $0.15. The company also provided a less than rosy forecast for 2025 as they’re expecting headwinds.