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Tesla reports record earnings but sees supply chain issues in 2022

SAN FRANCISCO — Tesla on Wednesday envisioned source chain problems to carry on via this yr, immediately after submitting file quarterly revenue that conquer Wall Street estimates.

The inventory fell 2.7% in following-hrs buying and selling.

Earnings rose to $17.72 billion in the fourth quarter, from $10.74 billion a year previously. Analysts experienced expected the electrical-car or truck maker to report income of $16.57 billion, in accordance to IBES data from Refinitiv.

The world’s most valuable automaker last quarter handed about a file quantity of cars to clients despite supply chain headwinds.

“Our very own factories have been working down below ability for various quarters as supply chain became the main restricting element, which is most likely to continue on via 2022,” Tesla stated in a assertion.

Tesla said on Wednesday that its new manufacturing unit in Austin started out manufacturing of Product Y late last yr, expressing it options to begin deliveries to buyers just after closing certification, without having elaborating on the timeframe.

It stated it aims to improve output from its California manufacturing facility over and above 600,000 motor vehicles for each calendar year.

Tesla has fared far better than most automakers in taking care of offer chain issues by working with significantly less scarce chips and immediately re-creating software program.

Tesla faces problems of scaling up production at two new factories this year with technology improvements as perfectly as battery and other source chain constraints clouding the outlook.

It faces soaring competitiveness from rivals who are established to start an array of electric cars and trucks, from a lot more reasonably priced types to electrical pickups.