Whether you’re looking at revenues from their automotive segment or cars produced and delivered, Tesla has weathered the pandemic exceptionally well, despite the virus’ impact on the economy and the global supply chain. But although their vehicle sales have propelled the car manufacturer to record-breaking results this past quarter, not all of its business endeavors were profitable.
As our chart shows, the “Services and other” segment contributed only $16 million to the company’s gross profit, though Tesla doesn’t specify which services are included. Its endeavors in selling and installing solar panels and its battery solution Powerwall actually operated at a loss in Q4 2021, setting the company back $51 million, with a reduction of 31 percent compared to the third quarter of 2021. This might be attributed to the fact that Tesla Energy, the direct subsidiary responsible for the energy generation and storage solutions, stopped selling individual Powerwalls in late May of 2021 and now only offers them in package deals with its solar panels and has reportedly been suffering from chip shortages as well. Unsurprisingly, the corporation made the most money with sales of its cars, accumulating a gross profit of $4.7 billion including $279 million in regulatory credit income between October and January.
Tesla is not only the world’s leading electric car manufacturer but also the fastest-growing brand worldwide. In 2021, it produced and delivered over 940,000 units, an increase of 87 percent compared to 2020. Its biggest competitors on the plug-in electric vehicle market in terms of 2020 overall unit sales are GM-SAIC-Wuling, Renault, Hyundai and Volkswagen. The company and its products are not beyond criticism though. Accidents occurring even while utilizing Tesla’s Full Self-Driving mechanic and reports of brake failures and conflicting safety ratings, as well as the cult-like Elon Musk fandom, have regularly resulted in critical reporting from press outlets and government officials.
This chart shows Tesla’s gross profit by segment.
