Tesla’s Q2 Net Income Hits $1B

Tesla reported strong earnings Tuesday after a record quarter of production.

The electric automaker beat expectations in Q2 with revenue of $11.958 billion and earnings of $1.45 per share (non-GAAP). During the quarter ending June 30, 2021, the company said it delivered 201,250 electric vehicles and produced 206,421 total vehicles.

Tesla’s operating income improved in Q2 compared to the same period last year to $1.3 billion, resulting in an 11.0%
operating margin. It’s the first time the company’s quarterly net revenue has hit $1 billion.

According to the company’s Q2 update:

Total revenue grew 98% YoY in Q2. This was primarily achieved through substantial growth in vehicle deliveries, as well as growth in other parts of the business. At the same time, vehicle [average selling price] declined by 2% YoY as Model S and Model X deliveries were reduced in Q2 due to the product updates and as lower ASP China-made vehicles became a larger percentage of our mix.

Tesla experienced success despite semiconductor shortages and port congestion but expects those difficulties may be ongoing.

“With global vehicle demand at record levels, component supply will have a strong influence on the rate of our delivery growth for the rest of this year,” Tesla said in its update.