4WD
$50 site donor 2025
Right - time to let the free market roll with EV … but guess what …
Tesla had 308,600 deliveries. Blockbuster Q4; shattering forecast. Have mercy.
- Thread starter JeffKeryk
- Start date
Tesla is a few percentage points of the market worldwide and chances are they did NOT cancel their chip orders like other carmakers did, meaning they are/were better positioned for the component shortages.
As always, the question is can they sustain their momentum?
Are the cars profitable yet or are the profits still in selling fuel economy credits to other automakers? I.E. without the sale of these credits, would Tesla be profitable?
That hasn't been the case in the past.
Economies of scale help. They need to if fewer carmakers need to buy these credits in the future.
Well, dareo, i will tell you why this is so amazing. Such a high number of deliveries with what is essentially a sedan and a sedan with higher roofline shows Tesla's dominance. GM only delivered 477k units in the last reported quarter and they offer hundreds of different junkers to choose from.
The cars themselves are all very profitable.
Building factories and charging infrastructure is ferociously expensive so there is no doubt the carbon credits help offset that.
You mean the butt-ugly Cybertruk? Yes.
Tesla Factories gives a good look at Tesla WW manufacturing. It gives a glimpse into their vertical integration. One of Tesla's differentiation from other car makers is the amount of the supply chain they control. Far more than chip embedded firmware.
For now, Tesla SEMI will be built at a "low-volume" Tesla Semi production line in Sparks, NV where the battery factory is.
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Yes, Teslas are among the most profitable cars made today. Far more than most mass produced vehicles. I think I alluded to this in my analysis.
I am not sure I follow what percentage points you are referring to... Can you please explain?
Regarding momentum, a 2022 50% YOY increase in the number of sales will be considered peanuts compared to 87%.
Their 2 biggest factories will start production soon. The fastest growing markets are Europe (Giga Berlin) and China (Giga Shanghai).
All the existing factories are increasing capacity.
Tesla has plans to produce 20 million EVs per year by 2030, 50 times its 2019 production. To get there, the $25K car will compete with the Corolla/Civic market.
Inflation has destroyed the possibility of a $25k Tesla. It has also destroyed the possiblity of a stainless steel Cyberyuck.
What if they leave off the steering wheel?
Cuts have already been made there.
So far, electric and plug in hybrid sales in North America are about 4% of all new car sales. Tesla sells about 60% of that subset meaning they are between 2 and 2.5 of every 100 new cars sold.
Their demand for chips is a small part of the entire car maker demand.
I don’t think Tesla thought the pandemic would slow their sales so they did not cancel orders like other carmakers did, putting them in a better position compared to others.
That would be a change. The last quarterly report I looked at showed a loss until the value of the credits was considered. As of that report, they were losing money on the building, sales and support of the cars, but was able to get into the black with the sale of credits.
When the next fiscal report comes out, we will see if they are profitable before the sale of such credits.
How profitable could they possibly be with having to recall half a million cars?
Tesla makes bank on carbon credits, to be sure. I think it will come in around $1.5B in 2021, contributing 1% to 3% of total revenue. Pretty good money for doing pretty much nothing. You'd think other car makers would smarten up...
Tesla is not reliant on carbon credits for profitability, not by a long shot.
4WD
$50 site donor 2025
Those junkers are getting real work done while Tesla is a 2nd or 3rd vehicle for people with money …
