Tesla Inc. reported a sixth consecutive quarter of profit and sales surpassed on Wednesday, but profits were below Wall Street expectations and shares fell by 7% in after-hours trading.
Tesla TSLA,
said it earned $ 270 million, or 24 cents per share, in the fourth quarter, compared with earnings of $ 105 million, or 11 cents per share, in the same quarter a year ago. Adjusted for unique items, the Silicon Valley automaker earned 80 cents per share.
Revenue increased 46% to $ 10.74 billion from $ 7.38 billion a year ago, thanks in part to “substantial growth” in deliveries, the company said.
Analysts surveyed by FactSet had expected adjusted earnings of $ 1.02 per share on sales of $ 10.47 billion.
The average selling price of its vehicles fell 11% from the previous year, as its mix continued to shift to the cheaper Model 3 and Model Y of its Model S and Model X luxury vehicles, the company said in a letter to shareholders.
Tesla also avoided providing a sales guidance for hard numbers. The company said it “simplified our 2021 orientation approach” to focus on long-term goals.
Tesla plans to increase manufacturing capacity “as soon as possible” and over a “multi-year horizon” expects to achieve an average annual growth of 50% in vehicle deliveries, its proxy for sales.
“In some years we can grow faster, which we expect to be the case in 2021,” he said.
A 50% growth would mean the delivery of about 750,000 vehicles this year, compared to just under 500,000 cars delivered in 2020, a year marked by factory shutdowns and delays due to the pandemic.
Analysts interviewed by FactSet expect deliveries of around 800,000 vehicles this year.
The company said it is still on track to start vehicle production at its plants in Germany and Texas this year, with internal battery cells. It should also start selling its commercial truck, the Semi, by the end of the year.
Tesla shares have gained almost 700% in the last 12 months, compared to gains of around 17% for the S&P 500 SPX index,
Earlier this year, the action had its longest winning streak.