San Francisco: Elon Musk-run Tesla has reported a revenue of $25 billion with a net income of $2.7 billion (up 20 per cent year-on-year) in the second quarter (Q2) this year.
The revenue was also 50 per cent higher than year-ago sales of $16.9 billion and mostly came from automotive sales which was $21.3 billion in the April-June period.
In the second quarter, Tesla produced nearly 480,000 vehicles and delivered over 466,000 vehicles, the company said in a statement late Wednesday.
“For 2023, we expect to remain ahead of the long-term 50 per cent CAGR with around 1.8 million vehicles for the year,” according to Tesla’s earnings report.
Musk said that Q3 production will decrease slightly, driven by planned downtime for factory upgrades.
“When interest rates rise dramatically, we actually have to reduce the price of the car because the interest payments increase the price of the car,” he added.
Tesla finally showcased Cybertruck at its Gigafactory in Austin, Texas.
“It’s always very difficult to predict the ramp initially, but I think we’ll be making them in high volume next year, and we will be delivering the car this year,” Musk said.
The company said that its operating margin remained healthy at approximately 10 per cent, even with price reductions in Q1 and early Q2.
“We are focusing on cost reduction, new product development that will enable future growth, investments in R&D, better vehicle financing options, continuous product improvement, and generation of free cash flow,” said Tesla.
The company said it is now testing Cybertruck vehicles around the world for final certification and validation.
“This might be the most unique vehicle product in decades; with that comes trialing and testing new technologies. Both technologically and architecturally, this vehicle will break a lot of boundaries,” said the company.