General Motors wants to quickly expand its portfolio of electric vehicles in coming years, but it apparently doesn’t expect to make any money from selling them until 2025. This has not been confirmed yet, but according to one newly published report, GM chief executive officer Marry Barra will announce on November 17 that the company’s EVs will become profitable after the middle of the decade.
The message is more aimed at company investors than anybody else, who need reassurances that GM will not only survive the shift to EVs, but also thrive, and that it’s currently on a good path to remain an automotive industry leader for the foreseeable future. The information comes from Automotive News, which quotes an unnamed source from within the company.
GM will apparently sell around 44,000 EVs this year and it most likely won’t turn a profit from their sale. However, its stated goal is to become an important player in the segment, with plans to reach 1-million EV sales in 2025, the same year the company also reportedly hopes will bring its first profits from selling battery-powered cars, SUVs and trucks.
The automotive giant also wants to double its overall revenues (compared to 2021, when it made the announcement) by 2030 and bring in around $280-billion from both internal combustion and electric vehicle sales. When this was announced GM said it would also expand its operation “beyond the vehicle,” taking advantage of its vast network of research and production facilities spread around North America and many parts of the world.
But GM is not expected to just talk about EV profitability on November 17, as Marry Barra will be joined by other high-ranking company execs on stage. Mark Reuss, GM President, will also be present, as will the company’s product development boss, Dougk Parks, who is expected to talk about advancements made to the Ultium platform and specifically in regard to improved EV battery energy density with the second-generation Ultium batteries.
Apparently, aside from technical improvements, next-gen Ultium batteries will also be around 40 percent cheaper in terms of production costs, thus greatly expanding the automaker’s chances to turn a profit. More will be revealed and detailed in two days’ time.