25th January 2024 – (San Francisco) Tesla Inc., the leading U.S. electric automaker, announced its financial results for the fourth quarter of 2023, revealing a 3 per cent year-over-year increase in total revenue to $25.17 billion.
The company reported earnings of 71 cents per share for the fourth quarter, slightly below market expectations of 73 cents.
Over the course of 2023, Tesla’s total revenue reached $96.77 billion, marking a significant 19 per cent jump compared to the previous year.
In terms of net income attributable to common stockholders (GAAP), Tesla saw significant improvement in the fourth quarter, with a year-over-year increase of 115 per cent to $7.93 billion. Its yearly net income amounted to $15.0 billion, representing a solid 19 per cent increase compared to the previous year.
During the fourth quarter, Tesla produced approximately 495,000 vehicles and delivered over 484,000 vehicles. Throughout 2023, the company witnessed a substantial 38 per cent year-over-year growth in vehicle deliveries, reaching a total of 1.81 million vehicles. Production also saw a notable increase of 35 per cent year over year, totalling 1.85 million vehicles.
Tesla ended the fourth quarter with $2.06 billion in free cash flow, marking a 45 per cent year-over-year increase.
Following a scheduled global factory shutdown in the third quarter, Tesla’s global production achieved a record annualized run rate of nearly 2.0 million vehicles in the fourth quarter.
The company’s Megafactory in Shanghai, China, resumed normal production rates during the fourth quarter. Tesla highlighted the rapid ramp-up of production for the updated Model 3, which reached full speed in less than two months.
In its financial report, Tesla stated, “Cost of goods sold per vehicle declined sequentially to slightly above $36,000. Even as we approach the natural limit of cost reduction for our existing vehicle lineup, our team continues to focus on further cost reductions across all stages of production, from raw materials to final delivery.”
Looking ahead, Tesla noted that it is currently positioned between two major growth waves. The first wave began with the global expansion of the Model 3/Y platform, while the next wave will be initiated by the global expansion of the next-generation vehicle platform.
The company anticipates that in 2024, the growth rate of vehicle volume may be notably lower than that achieved in 2023, as its teams focus on the launch of the next-generation vehicle at Gigafactory Texas. Additionally, Tesla expects the growth rate of deployments and revenue in its Energy Storage business to outpace that of the Automotive business in 2024.