It is that time of the year again that publicly traded companies update the world on their recent financial and operating performance, and Tesla has not been left out. The growing auto powerhouse, for the fourth calendar quarter of 2020, has posted amazing numbers.
Although the auto maker didn’t meet Wall Street’s expectation on earnings per share (80 cents as against $1.03 being expected), it cruised to another quarterly profit despite a year that has seen the devastating effects of a pandemic. It brought in a record $10.74 billion in revenue, with $270 million of it as profit. This means year 2020 as a whole saw a revenue of $31.5 billion and $721 million profit.
All that money mainly came from shipping 180,667 vehicles, with the bulk of it being either the Model 3 or Model Y. This brought the total for 2020 to 499,647, quite close to the 500,000 target set by the company. This success was definitely helped by growing sales in China. Total revenue for the automotive business was $9.31 billion, while the energy generation and storage arm contributed $752 million, a 200% increase year-on-year. Services and ‘other’ made up the $678 million balance.
Breaking it down further, part of the profit came from Tesla selling regulatory tax credits to other auto manufacturers. Last quarter, the sales amounted to $401 million, which continues a quarterly tradition for the company. All these operations cost Tesla almost a billion dollars. R & D took another $522 million.
Looking ahead, Tesla is planning to ship about 750,000 cars from its factories in California and Shanghai, a 50% increase from 2020. The plant is Berlin is also expected to become operational in the same time frame. Tesla is also planning to begin delivering its semi-truck, alongside its revamped Model X. The Full Self Driving option would also begin to be offered as a subscription, rather than the current one-time payment of $10,000. Tesla would also be debuting its own battery, which was displayed last September.
During a conference call with investors and analysts, Musk revealed he was open to the idea of leaving his CEO role, claiming a company should not have the same CEO forever. But of course, he would still be at the helms for quite a few years. He also mentioned it was inevitable that a Tesla branded van would be released.
Which of the Tesla products slated for 2021 are you interested in most? Let’s hear you in the comments.
Written by D.O. for www.ShargeMe.blog