After years during which getting cash appeared largely irrelevant, electrical automobile chief Tesla confirmed buyers Wednesday that it may make substantial quarterly income.
The corporate delivered a report variety of automobiles within the third quarter, created a report $1.four billion free money stream and achieved report profitability, all whereas constructing three new factories on three continents. That marks a fifth consecutive quarter with internet revenue, padding the corporate coffers with $14.5 billion in money and money equivalents.
“Q3 was our greatest quarter in historical past,” CEO Elon Musk informed buyers on a name Wednesday afternoon.
The corporate constructed 145,036 automobiles, up 76 % from Q2. It is nonetheless attempting to hit 500,000 automobiles delivered this 12 months, which might require one other report quarter to spherical out 2020. Tesla delivered 318,980 automobiles within the first three quarters, leaving 181,020 to go within the final months of 2020.
The power enterprise breakdown
On the power facet, photo voltaic deployments jumped 111 % to 57 megawatts, from a record-low 27 megawatts in Q2. Vitality storage rose 81 % during the last quarter to 759 megawatt-hours.
“Unprecedented demand” for the large-scale Megapack battery product has already outstripped provide by way of 2021, mentioned power enterprise chief RJ Johnson. He added that the order e-book was already filling up by way of 2023, and that the residential Powerwall product additionally has a big backlog.
Total, Tesla’s stationary storage output is roughly doubling this 12 months and doubling once more subsequent 12 months, Musk mentioned.
The photo voltaic roof staff additionally reached a brand new landmark: with the ability to set up its roof in lower than two days. That follows a day or two of stripping the previous roof, Johnson famous (Musk beforehand focused an set up time of eight hours).
Johnson asserted that this long-awaited product may expertise exponential progress, although the corporate has but to launch any laborious set up numbers to quantify its attain to date. Photo voltaic roof installations practically tripled sequentially in comparison with an unspecified baseline, in accordance with Tesla’s earnings slides.
The materiality of the product may stand in the best way of exponential progress, although. Photo voltaic roof chief Carl Peterson mentioned he is tackling a bottleneck within the type of coaching sufficient installers for the specialised tiles. Tesla can also be fielding curiosity from third-party roofers to assist develop installations, a choice the corporate first introduced three years after initially launching the roof tiles.
Although Tesla looms giant within the power world, as one of many largest stationary storage suppliers and the proprietor of what was once the biggest rooftop photo voltaic installer, that enterprise makes up a small a part of its monetary empire. Vitality generated $579 million in Q3 income, in comparison with $7.6 billion in automotive income. And that power income got here at a price of $558 million, yielding a lot thinner margins than in Tesla’s automotive enterprise.