Posted on Jan. 30, 2020, 8:46 a.m.Updated on Jan 30, 2020 at 10:13 am
Tesla is still the darling of Wall Street. After
to have crossed the symbolic 100 billion dollar mark
market capitalization this month, the share of the manufacturer of electric vehicles jumped 13% further crossing the threshold of 600 dollars in trading after market Wednesday – a new record.
The finances of the Californian manufacturer of electric cars, however, remain in the red. Tesla posted revenue of $ 24.57 billion last year, up from $ 21.46 billion in 2018, with a net loss of $ 862 million, down 11.7% from 2018. last year.
Tesla said it expects to be profitable now, with a few exceptions, especially during periods of launching a new product and increasing production rates. “2020 is going to be a very important year,” said boss Elon Musk during a conference call.
The billionaire sent new positive signals to investors by dangling the start of an “era of profits” for his electric cars. The company reported that the production of
his new model, the Model Y,
had started this month, earlier than expected. In mid-2020, production of this SUV should increase the capacity of its California factory in Fremont to 500,000 units, compared to 365,300 produced in 2019, the group assured.
Tesla expects to be profitable
The entrepreneur, who predicted a high demand for his city 4×4, thanks
especially in the Chinese market,
plans to deliver the first Model Ys by the end of March and start production in Shanghai in 2021. The first deliveries of its cars produced in
its European factory in Berlin
will take place from 2021.
“Given its competitive price and the battery life, the Model Y can become Tesla’s best-selling vehicle. It is essential for the success of the business in the long term, ”says Jessica Caldwell, expert at Edmunds.com.
By positioning itself in the SUV market, Tesla is however launching into a very crowded market, and its Model Y (available from 52,990 dollars in the United States) will be in competition with the Audi eTron and the Jaguar iPace.
Better quarterly results than expected
Over the past three months, the company has made net profit of $ 105 million, down 25% from the previous quarter (to $ 143 million), but it is its second consecutive net profit , an encouraging sign for investors seeking to confirm that the company, known for
burn cash at high speed,
is well on the way
for sustainable profitability.
Driven by record deliveries of 112,000 vehicles (+ 23%), its sales reached $ 7.4 billion in the fourth quarter, an increase of only 2% compared to a year ago.