Tesla reported better-than-expected first-quarter results, buoyed by strong demand for its electric vehicles amid ongoing supply-chain challenges and a Covid-19 lockdown in Shanghai crimping its production in China.
Profit at Elon Musk’s electric-vehicle and clean-energy company totaled $3.22 a share, excluding some items, the Austin, Texas-based automaker said Wednesday. That beat the $2.27 average of analysts’ estimates. Revenue rose to $18.8 billion, compared with estimates of $17.9 billion.
The first major U.S. Automaker to report first-quarter financial results, Tesla warned that its “factories have been running below capacity for several quarters as supply chain became the main limiting factor, which is likely to continue through the rest of 2022.”
Shares of Tesla rose as much as 5.1% to $1,026.88 in after-market trading. They fell 5% to $977.20 at the close in New York.
While Tesla is still by far the world’s most-valuable auto company, with a market capitalization of $1.01 trillion, the shares have declined 7.5% this year amid concerns about global shortages of key parts. But the company has fared better than bigger-volume rivals, such as General Motors Co. And Ford Motor Co., whose shares are down 29% and 23% respectively.
Tesla’s revenue from the sale of regulatory credits totaled $679 million.
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