Tesla’s TOPLINE shares rose late Wednesday after the company reported second-quarter results that essentially beat Wall Street expectations. Despite analyst concerns that China’s months-long Covid lockdown is hitting manufacturing.
Tesla shares were up less than 1 % in after-hours trading. After the electric vehicle maker reported mixed earnings showing second-quarter production was impacted by supply chain disruptions and factory closures in China.
Tesla reported quarterly sales of $16.9 billion up 42% year-on-year but down from a record $18.7 billion in the previous quarter. While revenue was $2.3 billion (versus $3.3 billion in the first quarter).
Analysts expect $1.9 billion in revenue and $17.1 billion in revenue, according to Refinitiv.
Investors expect gains to be disrupted by China’s two-month Covid-19 lockdown in Shanghai. Which prompted the closure of Tesla’s factory there.
The electric vehicle maker also began carrying out several layoffs after CEO Elon Musk said in June that he had a “horrible feeling about the economy.”
SHOCKING FACTS:
Tesla had the third best quarter financially, but growth still lagged compared to the previous two quarters – despite surging year-over-year.
KEY STORY:
Earlier this month, Tesla reported 254,695 electric vehicle shipments in the second quarter up 27% from a year ago. But down 18% from the first quarter, when about 310,000 cars were delivered. However, Tesla’s stock is down nearly 40% this year as analysts grow increasingly skeptical about the company’s lofty production targets. In April, Musk anticipated that the company would reduce more than 1.5 million cars by 2022. But the outlook for that production will hinge on the impact of the Shanghai plant shutdown. Which is still recovering from a two-month shutdown.
BIG FIGURES: $236.7 BILLION
That’s what Musk is worth, according to Forbes. The all worth of the world’s wealthiest people rose by nearly $2 billion on Wednesday. After Tesla shares edged higher ahead of its second-quarter earnings report.