Technology

Tesla’s Quarterly Profit Soars to Record $1.1 Billion

Tesla Inc.’s quarterly profit rose to record levels as the car maker largely sidestepped the effects of a global chip shortage that has constricted production for many global auto makers.

The Silicon Valley electric-car maker, as it posted second-quarter earnings on Monday, said its ability to navigate ongoing supply-chain challenges would help dictate its pace of growth in the second half of the year as it races to satisfy growing demand for battery-powered vehicles.

In a sign of the challenges the company faces in introducing new models and securing parts for all its vehicles, Tesla again delayed its semitrailer truck—already two years late—with first deliveries now slated for 2022. Tesla attributed the delay to supply-chain issues and limited battery-cell supply, as well as wanting to focus on getting new factories online.

The company’s plans for its first pickup truck, once expected to go to customers as early as this year, are also being affected by parts issues, Chief Executive Elon Musk said on an earnings call, without giving a revised first delivery date.

The company reported revenue of roughly $12 billion for the period ended June 30, nearly double the year-ago period, and a profit of $1.1 billion, marking its eighth sequential quarter in the black. Wall Street expected Tesla to report roughly $11.4 billion in revenue and around $600 million in profit, according to analysts surveyed by FactSet.

Source

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button