Tesla reviews file gross sales and income
IMAGE SOURCE: TESLA
Elon Musk’s Tesla returns with a bang from supply chain problems, reporting record sales and profits. Revenue rose to $ 13.76 billion for the third quarter of the year, down from $ 8.77 billion twelve months earlier.
The company, led by billionaire Elon Musk, had net profits of $ 1.6 billion and sold 241,391 cars. “We achieved our best ever net income, operating income and gross profit,” said Tesla.
The company said China remains its main export hub and plans to introduce a different type of battery in its standard vehicles around the world. The new lithium iron phosphate batteries are cheaper than conventional batteries but offer a shorter range, Reuters reported. Analysts said this could help keep costs down and address shortages of parts.
Supply chain spiral
Tesla said it has faced “various challenges” to keep its factories running, including the global shortage of auto microchips, congestion in ports and “rolling power outages.”
There is currently a global shortage of computer chips, also known as semiconductors, which are used in millions of products such as cars, washing machines and smartphones. However, Tesla added that it plans to expand its “manufacturing capacity as soon as possible” and anticipate a 50% annual increase in auto sales.
“While [the] The Fremont factory has produced more cars in the past 12 months than any other year. We believe there is room for further improvement. In addition, we are expanding the Gigafactory Shanghai and building new capacities in Texas and Berlin, ”it said.
“The rate of growth will depend on our equipment capacity, operational efficiency, and the capacity and stability of the supply chain.” Most of Tesla’s revenue comes from the sale of its lower-priced Model 3 and Model Y models, which grew 87% to 232,102.
Victoria Scholar, head of investment at Interactive Investor, said Tesla’s results exceeded analysts’ expectations. “These are impressive numbers in the context of the ongoing headwinds from global chip shortages,” she said.
Tesla said the demand for electric vehicles (EV) continues to “undergo structural change”.
“We believe the more vehicles we have on the road, the more Tesla owners can spread the benefits of electric vehicles,” added the manufacturer.