After years of development struggles, financing hurdles, and production setbacks, Faraday Future (FF) has finally delivered its first FF91 2.0 electric vehicles (EVs) in 2023. The luxury all-electric model, priced at $39,000, aims to compete with established brands like Bentley and Rolls-Royce. However, despite non-binding pre-orders for over 300 units, FF faces financial challenges and questions about its profitability.
The FF91 2.0: A Long-Awaited Arrival The FF91 2.0 represents a significant milestone for FF, arriving six years after its original target date of 2018. Production began in March 2023, and the first unit was delivered in August 2023. While the company’s total revenues in 2023 amounted to just $784,000, FF remains committed to increased production and deliveries while maintaining financial discipline.
Sales and Challenges: The FF91 2.0 sales figures tell a challenging story. Only four units were sold, with an additional six leased. These numbers fall short of expectations, considering the high base price. FF’s net loss in 2023 reached $432 million, highlighting the uphill battle the company faces in turning a profit.
Pre-Orders and Market Potential: As of December 31, 2023, FF had 303 non-binding, fully refundable pre-orders in the US and China. While this number may have changed, even at a 100% sales rate, it would yield less than $100 million in revenues. In comparison, the Rolls-Royce Spectre sold 326 units globally in Q4 2023, with a base price of $420,000.
The Road Ahead: Navigating Challenges FF’s withdrawal of its 2024 production target reflects the uncertainties of the market. However, the Middle East emerges as a potential new market. The FF91 2.0, equipped with a tri-motor all-wheel-drive powertrain and a 142 kW battery, boasts an EPA range of 381 miles and impressive acceleration capabilities.
