Earnings Results: Tesla reports $2 billion quarterly profit, though says supply-chain snags tighten production

Sales rose 65% to $17.7 billion, from $10.7 billion a year ago.

Wall Street analysts surveyed by FactSet approaching a electric-car builder to news practiced gain of $2.36 a share on sales of $17.1 billion in a quarter.

“The chip shortage, while improved than final year, is still an issue,” Chief Executive Elon Musk pronounced in a call with analysts following a results.

Tesla batch fell scarcely 1% in up-and-down after-hours trading, after Musk positive investors that notwithstanding a “multiple supply-chain challenges” he expects “significant growth” for Tesla in 2022, and “comfortably” above 50% from 2021.

Musk, who returned to a post-results call after skipping a third-quarter gain webcast in October, also offering a new timeline for a driverless Tesla, which, total with a long-promised “robotaxi” fleet, would open a new income tide for a association in a future.

The CEO pronounced that his “personal guess” was that Tesla’s “full self-driving” capabilities would be accessible during a finish of a year.

“Frankly, being safer than a tellurian is a low standard, not a high standard,” Musk said. “I would be repelled that we do not grasp full self-driving, safer than a human, this year.”

A swift of “robotaxis,” radically apropos self-driving around program updates, would be “the biggest boost in item value of any item category in history,” Musk said. “Everything pales in comparison to value of robotaxis and self-driving.”

Musk also suggested that a association will be looking for new bureau locations in 2022, with an proclamation probable by a finish of a year. It will not launch any new vehicles in a nearby term, however, so it can concentration on a stream lineup and a vehicles already in a works.

Those embody a Cybertruck, and Musk pronounced Tesla is still operative by a new record it aims to supplement to a electric pickup truck. It is also walking a excellent line between loading a Cybertruck with that latest tech and gripping a cost comparatively affordable, he said.

“I worry some-more about how to make a Cybertruck affordable notwithstanding a overwhelming technology,” Musk said. The long-awaited lorry would come several months behind electric pickups from bequest and startup automobile makers.

In a minute to investors concomitant results, Tesla pronounced that a factories “have been using next ability for several buliding as supply sequence became a categorical tying factor, that is expected to continue by 2022.”

While some might perspective a comments about a ongoing supply-chain constraints and below-capacity factories as “a medium disappointment,” Tesla “has turn dictatorial during underpromising and overdelivering and has now kick in 9 of a past 10 quarters,” CFRA researcher Garrett Nelson said.

Tesla’s full-year GAAP distinction rose to $5.5 billion from $721 million in 2020, while 2021 sales rose 71% to $53.8 billion, from $31.5 billion in 2020. Tesla pronounced it finished a fourth entertain with $2.8 billion in giveaway money flow.

Total debt incompatible car and energy-product financing fell to $1.4 billion during a finish of a year, it pronounced in a letter.

The association pronounced it started building Model Ys in late 2021 during a bureau in Austin, Texas, and skeleton to start deliveries of a compress SUV after final certifications. The Fremont bureau in a San Francisco Bay Area reached “record production” final year, and could enhance a ability over 600,000 vehicles a year, Tesla said.

The idea is to maximize outlay from Fremont while Austin and a Berlin, Germany, plant are ramping up. The Berlin bureau is still available production permits from internal authorities, Tesla said. The Shanghai plant “continues to be a categorical trade hub,” it said.

Tesla kept a central superintendence of 50% normal annual sales growth.

Officially “cutting a red badge on Austin and Berlin over a entrance months will be key,” Wedbush researcher Dan Ives pronounced in a note. By a finish of 2022, Tesla expected will have a ability for about 2 million vehicles a year, from roughly 1 million now, he said.

Tesla astounded Wall Street progressing this month with record fourth-quarter sales, which surged scarcely 90% from a same duration in 2020. The batch has gained about 6% in a past 12 months, compared with gains of around 13% for a SP 500 index
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