Tesla (NASDAQ: TSLA) achieved its seventh consecutive quarter of profitability in Q1, hence the traumatizing ‘dancing Elon’ gif…
But, boosted by Bitcoin and credits sales, just how much is coming from car sales?
Problems? Where we’re going, we don’t need problems!
Tesla’s had a tough 2021 so far. Elon Musk & Co. have been putting out fires left and right (often literally). Between product recalls, semiconductor shortages, SEC investigations, product delays, alleged self-driving malfunctions, and actual factory fires, the company and its stock — which is 20% off all-time highs — could use a win.
And boy, was Q1 a win:
- A record 184,800 vehicles delivered.
- A record earnings per share (EPS) of $0.93, or record net profit of $438 million on a GAAP basis.
- A record $10.39 billion in revenue.
All of this, and Q1 is traditionally Tesla’s worst month…
And just how is this car company performing so admirably in the midst of a global pandemic? Well, through sheer determination and revenue diversification, of course. The company’s record profits in Q1 were buoyed by a record (buzzword of the day) $518 million in revenue from sales of regulatory credits, as well as a $101 million positive impact from sales of Bitcoin. Aside from that though, its core car business grew a whopping 100% year-over-year. What’s more, there are great signs in the fact that the company expects more than 50% growth in 2021 deliveries — this would imply a minimum of 750,000 deliveries. This proves that its core business is well and truly on the rise as well, and will not always rely on outside investments such as Bitcoin.
In a difficult period for the company, this may help put its ongoing problems in the rear-view mirror. If you want to know more, listen as MyWallSt CEO Emmet Savage discussed his thoughts on Tesla with CNBC .
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MyWallSt operates a full disclosure policy. MyWallSt staff currently holds long positions in companies mentioned above. Read our full disclosure policy here.
Editor at MyWallSt
Jamie is the Content Editor here at MyWallSt. His favorite stock is Apple, which is also the first stock he ever bought. Jamie is not only a big fan of its products, but he believes that the tech giant has a whole lot more to give the world, and hasn't even scraped the surface of its potential.