Tesla Motor, American company, electric cars, Elon Musk, Silicon Valley, Model S sedan, Model X SUV, sales increase, financial loss, deficit, 710 million dollars, economic upturn, turnaround, S&P 500 stock market index, Model 3, business opportunities, Hertz rental company, market capitalization, Californian firm, legal difficulties, investment in Research and Development
Founded in 2003, Tesla Motor is an American company that designs electric cars. Currently headed by the very charismatic Elon Musk, the automaker has set up its headquarters in Palo Alto, in the very heart of Silicon Valley, in the United States. By offering models of electric cars that are both sporty and very luxurious, Tesla seeks to attract a high-end clientele. These latest models, the Model S sedan and the Model X SUV have been marketed worldwide since their respective releases. It is estimated that the Tesla group produces more than 300,000 cars each year for the European, Asian and also American markets. The company has had the opportunity to release a number of new products over the last few years. It is, therefore, necessary to analyse the financial results due to the entry of these new products into the car market.
With this in mind, we can ask ourselves: How has the Tesla business evolved financially over the past three years?
[...] However, according to automotive analysts, a capital increase was more than necessary for Tesla, which ended its year with a sharp drop in cash compared to previous years. Tesla's 2018 revenue was $ 21.46 billion. II. The year 2019: towards an economic upturn? If 2018 plunged the American group into a worrying economic situation marked a real turnaround, as Tesla achieved a turnover of 24.57 billion dollars in that year. This revenue was then accompanied by a net loss of $862 million. [...]
[...] Indeed, this family sedan quickly became the best-selling 100% electric car in the world for the years 2015 and 2016. A top-of-the-range product that sold more than 200,000 units in the fourth quarter of 2017. In addition to the Model in the fall of 2015, Tesla released another iconic model: an SUV derived from the Model the Model X. Finally, in 2017, the automaker offered the Model a compact sedan is supposed to be more affordable than the Model S. [...]
[...] It should also be noted that in 2021, the firm succeeded brilliantly in getting out of certain possible legal difficulties. Indeed, the NHTSA, in other words, the American highway safety agency, had issued a virulent criticism of Tesla because of its driver assistance system entitled "Autopilot" and, in particular, the dangerous and irresponsible behavior of hundreds of drivers using it. In order to get out of the state agency's sights, the Californian brand then agreed to update its software to block drivers wishing to play video games from the car's system when the vehicle is in motion. [...]
[...] Its share price soared to more than 660%. On December when the markets closed, the Californian brand was worth more than $655 billion after having exceeded $800 billion a few weeks earlier. Tesla's stock market value then entered the S&P 500 stock market index. Tesla was profitable over the entire year for the first time since its creation in 2003. Its turnover reached 31.5 billion, up 28% compared to 2019, while its net income was nearly $721 million. In March 2020, the group recorded the first million cars produced. [...]
[...] It is, therefore, necessary to analyze the financial results due to the entry of these new products into the car market. With this in mind, we can ask ourselves: How has the TESLA business evolved financially over the past three years? We will first see that 2018 was a dark year for the American car manufacturer. We will then show how 2019 was synonymous with an economic upturn for the firm before showing that 2020 was a record-breaking year. Finally, we will explain how 2021 symbolizes the revival of the group through new business opportunities. [...]
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