Tesla stated Wednesday that its benefit leapt greater than sixfold remaining yr to $5.5 billion, the absolute best general in its 19-year historical past, as gross sales soared additional, particularly in Europe and China.
However the automaker warned that provide chain troubles stemming from the pandemic would once more constrain manufacturing via this yr.
“Our personal factories were working under capability for a number of quarters as provide chain changed into the primary proscribing issue, which is more likely to proceed via 2022,” the corporate stated.
Tesla’s earnings rose to $53.8 billion in 2021, from $31.5 billion a yr previous. Deliveries greater 87 p.c, to 936,000 automobiles. It closed the yr with a robust fourth quarter by which earnings climbed 65 p.c, to $17.7 billion, and internet source of revenue rose to $2.3 billion, from $270 million within the related duration in 2020.
The corporate generated $4.6 billion in money within the fourth quarter and ended the yr with $17.5 billion in money available.
Perceive the Provide Chain Disaster
Elon Musk, Tesla’s leader govt, stated the corporate would now not announce any growth of its product lineup this yr so it will focal point on expanding manufacturing.
Including fashions whilst call for is outstripping provide “wouldn’t make sense,” he stated in a convention name with analysts. “If we presented new automobiles, our general output would lower.”
Tesla stated it used to be operating on its Cybertruck pickup, which used to be intended to enter manufacturing in 2021.
The corporate repeated a prior forecast that it anticipated gross sales to develop about 50 p.c a yr on moderate for the following couple of years. Mr. Musk stated Tesla would develop “with ease above” that determine in 2022.
Tesla grew remaining yr regardless of a scarcity of laptop chips that affected all of the business. The corporate used to be in a position to mitigate the affect of the lack via switching to forms of chips that have been extra readily to be had. Tesla could make one of these exchange as a result of its device lets in its automobiles to paintings with a greater diversity of chips than different automakers’ automobiles do.
“The chip scarcity continues to be a subject matter,” Mr. Musk stated Wednesday. “We think to be chip-limited this yr. It must alleviate subsequent yr.”
Along with its established factories in Fremont, Calif., and Shanghai, Tesla wishes output from vegetation it’s construction in Texas and Germany to deal with its speedy expansion.
“We purpose to extend our manufacturing as temporarily as we will be able to, now not most effective via ramping manufacturing at new factories in Austin and Berlin, but additionally via maximizing output from our established factories in Fremont and Shanghai,” the corporate stated Wednesday. “We consider competitiveness within the E.V. marketplace can be decided via the power so as to add capability around the provide chain and ramp manufacturing.”
How the Provide Chain Disaster Spread out
The pandemic sparked the issue. The extremely intricate and interconnected world provide chain is in upheaval. A lot of the disaster will also be traced to the outbreak of Covid-19, which caused an financial slowdown, mass layoffs and a halt to manufacturing. Right here’s what took place subsequent:
Mr. Musk stated Tesla would most certainly get started scouting places for a brand new car plant via the tip of the yr.
The corporate stated it was hoping to start delivery Style Y compacts made in Austin. Manufacturing on the plant close to Berlin, which were anticipated to begin via the tip of 2021, has been behind schedule as a result of disputes with German government over allows.
Tesla dominates the marketplace for electrical automobiles in the US, however it’s more likely to in the end face some critical pageant this yr. Ford Motor, Common Motors, Volkswagen and Hyundai have all defined bold plans to introduce new electrical automobiles in the US. Two fledgling electrical car manufacturers, Rivian and Lucid Motors, even have simply began delivery automobiles meant to compete with Tesla.
Tesla’s bottom-line determine for 2021 integrated just about $1.5 billion that it earned from promoting regulatory credit to different automakers, relatively not up to within the earlier yr.
