Automaker Tesla has posted record profits over the past year. Elon Musk’s company earned no less than $12.8 billion, up 128% from a year earlier. And this in a year of high inflation, economic headwinds and supply problems.
“That way they can stay reasonably well stocked,” says director Koen Bender of Mercurius Asset Management. “We knew that Tesla was having problems with deliveries and that they had lowered their prices. But what’s interesting to see is that lowering those prices has an effect.’
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To grow up
And Tesla does not intend to slow down in the foreseeable future. Musk says they will produce 1.8 million cars this year, and possibly even more than two million. Those are decent growth figures Musk is announcing here.’
These figures are supported by a large number of orders in the first weeks of the current year, according to Bender. “Twice as many cars have been ordered as Tesla is rolling off the line. It’s not out of the blue, they really see the effect of that price cut. There are many people who would like a Tesla, but couldn’t afford it before.’
‘Good job’
Bender is impressed with the automaker’s performance. “There are very few auto brands that have so far been able to drive prices down and keep their margins at 25 percent. They made more profit than General Motors last year, and that’s obviously a great job.”
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
