Ford Motor Co ( F ) shares opened on Tuesday morning with a 10% nosedive a day after the company released its third-quarter financial results post-market, according to Benzinga Pro.

Ford reported a revenue of $46.2 billion, surpassing the consensus estimate of $41.88 billion. The company’s earnings per share were 49 cents, exceeding the expected 47 cents.

However, the EV segment, branded as “Model e,” recorded a significant EBIT loss of $1.2 billion in the third quarter. Its sales saw a 33% year-over-year decline, while global hybrid vehicle sales grew by 30% during the quarter. The Model e segment reported an EBIT loss of $1.2 billion, though the company noted improvements in profit trajectory due to cost reductions.

"Clearly, our strategic advantages are not falling to the bottom line the way they should," CEO Jim Farley said during the earnings call.

"Costs, especially warranty, has held back our earnings power."

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This loss is attributed to industrywide pricing pressures, which have been a persistent issue throughout the year, leading to a cumulative loss of $3.7 billion by the end of September. Ford now anticipates a full-year EBIT loss of $5 billion for the Model e segment.

Ford projects a full-year adjusted EBITDA of approximately $10 billion, which is down from the range of $10 billion to $12 billion range. The company also anticipates free cash flow between $7.5 billion and $8.5 billion.

CEO Jim Farley has highlighted the impact of aggressive pricing and leasing tactics by competitors, which have further strained the company’s EV segment. These challenges underscore the competitive landscape in the EV market and the pressures automakers face in maintaining profitability while transitioning to electric vehicles.

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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari