Electric vehicle maker Tesla (TSLA) reported fourth-quarter results that beat Wall Street estimates but warned that supply-chain issues could limit production this year.
The automaker, headquartered in Austin, Texas, reported fourth-quarter earnings of $2.88 billion U.S., or $2.54 U.S. a share on strong sales of its mass-market models. That was above analysts’ estimates of $2.36 U.S. a share.
Tesla delivered more than 936,000 vehicles worldwide in 2021, up 87% from a year earlier and above the 50% average annual expansion projected over the course of several years. But it’s now cautioning the shortages that cut sales for most other major automakers will squeeze Tesla as well.
Shares of Tesla were little changed in extended trading after initially falling sharply. The stock is down 11% this year to $937.41 U.S. per share.
Revenue for the quarter grew 65% to $17.7 billion U.S., compared with estimates of $16.6 billion U.S. The quarterly results allowed Tesla to turn a profit in consecutive years for the first time since its founding in 2003.
The company’s fourth quarter automotive gross margin, a key measure of profitability, grew to 30.6%, or 29.2% without regulatory credits, a slight improvement from the previous quarter.
Tesla also said its cost per vehicle dropped to $36,000 U.S. in the last half of 2021.
