Updated at 16:41 EST
Tesla (TSLA) – The Get Tesla Inc. Report posted stronger-than-expected first-quarter earnings on Wednesday, although profit margins narrowed amid rising entry costs, lowering shares in foreign operations. of the schedule.
Tesla said adjusted earnings for the three months ending June were set at $ 2.27 per share, up 56.5% from the same period last year and well ahead of the consensus forecast of $ 1.86 per share.
The group’s revenue, Tesla said, rose 41 percent from last year to $ 16.94 billion, below analysts’ forecasts of $ 17.2 billion and a record $ 18.76 billion during the first quarter.
Automotive gross margins were 27.9%, down 500 basis points from last year, Tesla said, just within Street’s forecast of 28.2%, due to the increase of entry costs and expenses linked to the rise of new factories in Austin and Berlin. Eliminating the impact of emissions credit sales, car margins were set at 26.2%, although the average selling price of a Tesla vehicle increased by 5%.
“We continued to make significant progress in the business during the second quarter of 2022,” Tesla said. “While we faced certain challenges, such as limited production and shutdowns in Shanghai for most of the quarter, we achieved an operating margin among the highest in the industry of 14.6%, a cash flow $ 621 million positive market and we ended the quarter with the highest vehicle production month in our history. “
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Tesla shares were down 0.75% on off-hours trading immediately after earnings were posted, to indicate a Thursday opening bell price of $ 737.01 each.
Tesla also said it sold about 75% of its holdings in bitcoins at the end of the second quarter, a figure equivalent to about $ 936 million, which was added to its balance sheet.
Estimates of Tesla’s bitcoin transportation costs vary, but the timing of the purchase suggests a level of about $ 32,600. That value, of course, rose in the second half of 2021, when bitcoin hit an all-time high of about $ 67,000, but now looks much more fragile after falling below the $ 20,000 level last month.
Bitcoin prices were last seen 2% lower on the day to $ 23,020 each after news of the Tesla sale.
Tesla, which suffered supply chain disruptions, chip shortages and a 22-day shutdown at its Shanghai giant plant during the three months ending June, saw deliveries fall 17.7% from in the previous period up to 254,695 units weaker than expected.
Commodity prices, as well as labor costs related to general production cycles, have risen steadily over the past year, while nickel, a crucial component in the manufacture of electric vehicle batteries, has risen. about 20% to $ 21,200 per tonne on the London Metal Exchange. . Battery grade lithium carbonate prices have risen by about 60% from early 2021 levels.
Tesla told investors in April that “the inflationary impact on our cost structure has contributed to adjustments in the prices of our products, despite a continued focus on reducing our manufacturing costs whenever possible,” and he has since initiated layoffs in California while raising the prices of his Model S. and Model Y sedans.