ALB Limited 08.02.2023
Tesla
Despite facing difficulties in 2022, Tesla released a strong 4th quarter and full year financial results on January 25, 2023. During the announcement of results on webcast, Tesla CEO Elon Musk has stated that 2022 was a fantastic year for the company as they have delivered 1.3 million vehicles. The next goal for Tesla is to deliver 2 million vehicles in 2023, with a focus on solving the shortages in their Austin and Berlin factories. However, Elon acknowledged that the impact of the pandemic and other unforeseen challenges such as inflation may also impact the company's performance and should be taken into account.
Operating Margin
Tesla's operating margin of 17% is significantly higher when compared to its rivals in the American automotive sector, such as Ford (1.3%), GM (8.1%), Nissan (3.6%), Nio (-29.8%), and Honda (5.4%). This shows that Tesla is performing strongly in comparison to its rivals.
Free Cash Flow
FCF in Q3 and Q4 shows an increase, however, when compared to the time frame between 2021 and 2022, there has been a 49% decrease. In 2022, the FCF was reported as 7.6 billion USD, but in Q4 of the same year, it decreased to 1.4 billion USD.
Revenue
In the year 2022, the revenue saw a significant boost of 51% on an annual basis, reaching a total of approximately 81.5 billion USD. Additionally, the earnings per share experienced a remarkable increase of 80.09%, amounting to 4.07.
Capex
In previous years, there was a substantial increase in Capex with a growth rate of 166%. In 2022, the announced Capex increased by 10.43% to 7,158 million USD, indicating that Elon Musk is preparing for future recoveries despite global market inflation and recession fears that may cause customers to reduce their consumption for protective purposes.
Opex
During the year, there was a 10% increase in prices due to rising commodity costs and inflation. This caused a 10% increase in the price of Tesla cars. According to Elon Musk, the high demand for Tesla cars exceeds production, which is why there were small price increases. To increase income and production, the focus is shifting towards in-house production, which will allow for easier responsiveness to both profitability and high demand. At the same time, it is important for Tesla cars to remain affordable for middle-class customers and align with Elon Musk's goal of making the vehicles accessible to everyone.Tasla Stock Price Movement in 2022
Tasla Stock Price – S&P500 1 Year Comparison
Stock Price of Tesla after the financials of Q4 and 2022 has been announced.
