Tesla, founded by Elon Musk, has reported record sales and earnings

Image credit: Quartz

Tesla has pushed aside supply chain difficulties and a global semiconductor shortage to declare record quarterly sales and earnings.

In the third quarter of this year, revenues increased to $13.76 billion, up from $8.77 billion a year earlier. The business, which is helmed by billionaire entrepreneur Elon Musk, had a $1.6 billion profit and sold 241,391 vehicles.

Tesla stated, “We achieved our best-ever net income, operating profit, and gross profit.”

The company stated that China would continue to be its primary export base, and that it aimed to introduce a new type of battery in its basic vehicles around the world. According to Reuters, the new lithium iron phosphate batteries are less expensive than older batteries but have a shorter range. According to analysts, this might help keep costs down while also addressing part shortages.

Tesla cited a “variety of obstacles” to keeping its manufacturing operational, including a global shortage of automotive microchips, port congestion, and “rolling blackouts.”

Computer chips, also known as semiconductors, are currently in limited supply around the world, and are used in millions of devices such as cars, washing machines, and cellphones.

Tesla, on the other hand, stated that it wanted to increase its production capacity as soon as possible and predicted a 50% increase in annual car sales.The sales of Tesla’s lower-cost Model 3 and Model Y automobiles, which increased by 87 percent to 232,102, accounted for the majority of the company’s revenue.

Tesla’s earnings, according to Victoria Scholar, head of investment at Interactive Investor, exceeded experts’ expectations.

“In light of the ongoing worldwide chip scarcity issue, this is an amazing set of data. We believe that the more Teslas on the road, the more Tesla owners will be able to spread the word about the benefits of electric vehicles,” she said.

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