Tesla Reports Strong Fourth-Quarter Earnings
Jan 27, 2022 By MarketDepth
Tesla (NASDAQ: TSLA) reported strong fourth-quarter results on Wednesday evening. Nevertheless, shares fell approximately 5% during extended trading Wednesday after the company cautioned that supply chain disruptions could persist throughout 2022.
Revenue Above Expectations
The electric vehicle company reported earnings of USD2.52 per share, compared to the expected USD2.36 a share. Revenue amounted to USD17.72 Billion, higher than analysts anticipated USD16.57 Billion, according to Refinitiv. Net income rose 760% to USD2.32 Billion, while its gross margin was 27.4%, better than the previous quarters 26.6%.
“The rate of growth will depend on our equipment capacity, operational efficiency and the capacity and stability of the supply chain. Our own factories have been running below capacity for several quarters as supply chain became the main limiting factor, which is likely to continue through 2022.”Statement from Tesla
According to CEO Elon Musk, he anticipates that Tesla will remain “chip-limited” in 2022, and said that it would not introduce any new vehicle models this year due to the shortage.
“We will not be introducing new vehicle models this year. We will still be parts constrained.” He revealed that in the meantime, the company would be working on engineering and tooling to help develop those future vehicles.