The electric vehicle manufacturer Tesla presented upward results on Wednesday, after sales driven by price cuts decided months ago.
As analysts expected, these tariff cuts reduced the profit margin of Elon Musk’s group, which fell to 18.2%, after 19.3% in the first quarter.
The billionaire presented his strategy in April, according to which he preferred to sell more, even with temporarily lower margins.
Sales increased to 466,140 vehicles in the quarter, compared to 254,695 in the same period a year earlier.
For the whole of the year, the group expects to exceed its forecast of 1.8 million.
In the second quarter, Tesla earned $24.92 billion, up 47% from the prior year, and earned $2.7 billion, up 20% from the prior year.
In its announcement, the company assured that it was comfortable with its future: “We have ample liquidity available to finance our product program, long-term projects to increase the capacity of our factories and other expenses.”
Production in the second quarter was 479,700 vehicles, after 258,580 in the same period of the previous year and 440,808 in the first quarter of the year.
For Wedbush analysts, Tesla is in a “position of strength” in the electric vehicle market, thanks to “its aggressive pricing policy” and “it is now preparing to further monetize this success.”
Source: TSF
