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The Markets
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Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Manufacturing & engineering

Tesla earnings rocket but not enough to outpace lofty expectations

The electric car maker revealed a US$101mln “positive impact” from its big purchase of Bitcoin earlier this year

Tesla Inc (NASDAQ:TSLA) topped US$1bn in underlying profits for the first time in the first quarter of this year and pocketed a large gain from its purchase of Bitcoin, yet still failed to meet Wall Street’s sky-high expectations.

After splashing out US$1.5bn on buying Bitcoin in February, the electric car maker revealed a US$101mln “positive impact” and said it sold 10% of its holding in the cryptocurrency during the quarter, making proceeds of US$272mln.

Record first-quarter deliveries, as revealed earlier this month, led to automotive revenues jumping 75% to $9.0bn and total turnover moving up a gear to US$10.4bn from just under US$6bn a year ago. This either just beat or just missed the consensus analyst estimates from Refinitiv and Bloomberg.

Net income on a GAAP basis (reported pre-tax profits) of US$438mln was up over 2,600% on the same period last year, the company’s seventh profitable quarter in a row, with earnings per share (EPS) rocketing 1,850% to US$0.39.

Adjusted EPS, excluding bonuses and other exceptionals, came out at US$0.93, which beat the Street’s US$0.79 forecast.

The performance during the quarter meant that billionaire boss Elon Musk has qualified for two bonus options payouts worth a total of US$11bn.

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