Tesla posts profit growth with rising prices | Photo credits: Photo by Afif Kusuma on Unsplash
(Reuters) – Tesla reported a surge in quarterly profit on Wednesday as higher prices for several of its top models helped the electric vehicle maker offset production challenges.
The group’s stock rose 4% in post-closing trading on Wall Street.
In a statement, Tesla said it was focused on a record second half as the Fremont, Calif., and Shanghai, China, plants hit all-time highs in production.
The firm headed by Elon Musk has raised the prices of its vehicles several times this year to respond to rising prices for lithium used for batteries and aluminum used for bodywork.
Once inflation subsides, selling prices will be lowered, Elon Musk has promised in the past.
In the April-June period, Tesla’s revenue fell to $16.93 billion from $18.76 billion a year earlier, marking the end of a series of record results published for several quarters. .
This is below consensus, which stood at $17.10 billion according to IBES data from Refinitiv, as the automaker struggled to meet demand due to the partial closure of its factory in Shanghai and production problems in its new factories.
Earnings per share in the second quarter were $1.95, down from $1.02 a year earlier.
(Report Hyunioo Jin in San Francisco and Nivedita Balu in Bangalore; French version Jean Terzian)