Tesla stockholders are relieved to see a “comeback” after a difficult couple of months. The stock jumped more than 10% in the morning and remains trading at a high volume as a side effect of the electric carmaker’s earnings beat and upbeat outlook for 2023, finishing the day up nearly 11%.
Here are seven critical things to remember from yesterday’s earnings call and letter to shareholders from Tesla:
1. The year 2022 was phenomenal
Elon Musk elaborated, “It was a fantastic year for Tesla. It was our best year ever on every level. In 2022, we delivered over 1.3 million cars and achieved a 17% operating margin, the highest among any volume carmaker, I think maybe among any carmaker
Elon Musk, CEO of Tesla stated on year 2022 for Tesla
On a full-year basis, revenue increased over 50%, operating income doubled, free cash flows increased over 50%, and our margins remained industry-leading,
the energy business had its strongest year yet across all metrics
Zach Kirkhorn, CFO of Tesla stated on Tesla’s achievements
2. In 2023, Demand will increase
Demand far exceeds production … we’ve seen the strongest orders year-to-date ever in our history. We currently are seeing orders at almost twice the rate of production
Elon Musk, CEO of Tesla stated on the current price cuts
3. Knowing the importance of Complete Self-Driving
Every time we sell a car, it has the ability, just from uploading software, to have Full Self-Driving enabled … and then when it becomes fully autonomous, that is a value increase in the fleet. That might [turn out to] be the biggest asset value increase of anything in history
Elon Musk, CEO of Tesla stated on Tesla’s full Self-Driving
4. The upcoming Cyberrtruck
Sometime this summer … [and] will not be a significant contributor to the bottom line, but it will be next year. So it’s an incredible product. I can’t wait to drive it personally. It will be the car that I drive every day
Elon Musk, CEO of Tesla stated on the Cybertruck’s production
5. An optimistic prediction
Musk estimates that vehicle production will range between 1.8 million and 2 million:
Our internal production potential is actually closer to 2 million vehicles, but we were saying 1.8 million… so if it’s a smooth year, actually, without some big supply chain interruption or massive problem, we actually have the potential to do 2 million cars this year
Elon Musk, CEO of Tesla stated on the estimation of vehicle production
6. The vehicle roadmap for Tesla is Interesting
We have other products in development. We’re not going to announce them, obviously, but they’re very exciting. And I think it will blow people’s minds when we reveal them. Tesla has the most exciting product roadmap of any company on Earth by a long shot
Elon Musk, CEO of Tesla stated on Tesla’s future vehicles
More information will likely be released on March 1st, during Tesla’s forthcoming Investor Day.
7. Shareholders should project Growth
There’s going to be bumps along the way … but long term, I am convinced that Tesla will be the most valuable company on Earth
Elon Musk, CEO of Tesla stated on the forecast of the stock’s upcoming years
Even though the future is uncertain, it is evident from what we can see in history that Tesla has grown significantly.
