Chip shortage or not, it looks like Tesla's Q3 results are going to be quite impressive despite some supply chain issues that are pervasive in the market.
Tesla (NASDAQ: TSLA) is set to report after the bell on Wednesday, and expectations are for $1.3 billion in profit for Q3-up from the paltry $331 million that the electronic vehicle manufacturer reported in Q3 2020.
Tesla's Q3 revenue is expected to hit between $13.6 billion and $14.116 billion, up from $8.8 billion in Q3.
Tesla already reported at the beginning of October that even though the carmaker had supply chain challenges, it managed to deliver a record number of vehicles for the quarter. At 241,300 vehicles delivered, this is a record for Tesla, and it surpassed most analysts' expectations, representing a 20% increase quarter on quarter.
Elon Musk had anticipated a 50% increase in the number of cars delivered in 2021 by more than 50% over last year's half a million. And it looks like Tesla will easily beat that, delivering 627,000 in the first nine months of the year.
The increase in sales can be attributed in part to increased sales of Chinese-made Teslas.
Tesla's share price was up 0.25% in Wednesday afternoon trading, at $866.44, but shares have climbed by more than 6% over the last five days.
The actual Q3 numbers for Tesla are unlikely to come as a surprise. With delivery figures already disclosed, expected revenue is likely to be on point.
Tesla has helped Elon Musk amass a fortune of $241 billion. But despite Tesla's impressive revenue, it is not Tesla, but SpaceX, that is set to catapult Elon Musk into trillionaire status, according to a Morgan Stanley forecast.
"More than one client has told us if Elon Musk were to become the first trillionaire ... it won't be because of Tesla. Others have said SpaceX may eventually be the most highly valued company in the world - in any industry," Morgan Stanley analyst Adam Jones told the Guardian.
By Julianne Geiger for Oilprice.com
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Julianne Geiger is a veteran editor, writer and researcher for Oilprice.com, and a member of the Creative Professionals Networking Group. More