Electric maker Tesla posted a profit for the fifth consecutive quarter, assuming total revenue of $ 8,8 billion (€ 7,4 billion), driven by vehicle deliveries and sales of regulatory credits to other manufacturers, reveals the “ Reuters ”after Elon Musk's company delivered the quarterly report to shareholders.
At the close of the New York Stock Exchange session, Tesla shares closed at 'green', up 0,17% to $ 422,64 (356,69 euros), but in the stock market it is already appreciating 5,23% to $ 444,75 (375,6 euros), reacting to the company's satisfactory results.
Tesla's profit rose 218%, according to the quarterly report presented by the manufacturer, compared to the same period in 2019, to 331 million dollars (279,5 million euros). This result raises Tesla's retained earnings to $ 435 million (€ 367,3 million).
To date, revenue from regulatory credit sales has totaled $ 397 million (€ 335,2 million), and without this revenue, multimillionaire maker Musk would not have achieved a profitable third quarter. This year alone, the credits represent 1,18 billion dollars (996 million euros), the same as 7% of the total automotive revenue.
Revenues from the automotive sector alone totaled US $ 7,6 billion (€ 6,4 billion) in the quarter under review, 47% more than in the same period last year. With the battery business included in total revenues, they then amounted to $ 8,8 billion, representing an annual growth of 45%.
Despite presenting high revenues, the electric vehicle manufacturer should fall short of delivering 500 vehicles by the end of the year, an objective that had been defined since the beginning of the year. To deliver this number of vehicles, Tesla must significantly increase vehicle production and sales in the fourth quarter. "Achieving this goal depends mainly on quarterly increases in the production of the Model Y and the Shanghai plant", the company pointed out to the publication.
By presenting revenues in excess of $ 19 billion in the third quarter, Tesla challenged the automotive industry in a particularly difficult year for the sector due to the Covid-XNUMX pandemic and the economic turmoil that resulted from it.
The company's sales and profits made the shares rise by more than 400% in 2020 alone, making it the most valuable automobile manufacturer in the world. The company currently has a market capitalization of around 394,5 billion euros (333,07 billion euros), despite being behind rivals in terms of sales, revenues and profits.
Craig Irwin, an analyst at Roth Capital Partners, advised Tesla not to spend too much, as its competitors intend to overtake it quickly on electric models. “The company is valued in an incredibly rich way, as if it were operating in a vacuum. But competitors are working hard to achieve it ”, and by 2025, 400 electric models are expected to be launched on the market.
In the third quarter, Tesla sold 34.100 Model 3 cars produced at the Shanghai plant, although sales remained fairly stable between July and September. Currently, the factory in China has the capacity to produce 250 thousand vehicles per year. In turn, the factory in Fremont, in the United States, which was closed most of the year, has a production capacity of 590 vehicles.
The investment in Berlin, in what will be the Germany-based factory, is expected to start making profits early next year, when the production of electric vehicles and batteries begins. The factory in Austin, Texas, is also expected to start work soon, as these two factories aim to increase production of new models, such as the Cybertruck and Semi-truck.