Tesla 2018 financial performance

Financial Performance of Tesla Motors in 2018.

2018 proved to be a pivotal year for Tesla. In Q3 and Q4, Tesla's Model 3 became the best selling passenger car in U.S. in terms of revenue. Moreover, Model 3 remained the best selling premium vehicle in US with more than 140,000 units sold. The success of Model 3 led to somewhat stable financial performance in 2018. However, while Model 3 remained the central attraction of 2018, the energy business of Tesla also saw significant improvement in the year. 

Increased deliveries of Tesla Model 3 also led to growth in the automotive sales revenue of the brand. The automotive sales revenue of the brand increased 107% or $9.10 Billion compared to 2017. This increase was mainly impacted by approximately 144,330 Model 3 deliveries. Automotive leasing revenue saw a decrease of $223.1 million or 20% compared to the previous year.  

Services and other revenue increased by 39% or $389.9 million in 2018 compared to 2017. This increase was driven mainly by a rise in the sales of used vehicles.  Energy generation and storage revenues increased by 39% or $439 million in 2018 compared to 2017. Increased deployments of Powerpack, Powerwall, and cash and loan solar energy systems projects led to this growth in revenue.  R&D expenses of the brand also increased by 6% or $82.3 million compared to the previous year. With headcount growth, the employee and labor related expenses of Tesla also grew in 2018 compared to the previous year. 

Important highlights :-

  • Automotive sales revenues grew to $17.6 Billion in 2018 compared to $8.5 billion in 2017. 
  • Automotive leasing revenues decreased to $883.5 million in 2018 compared to $1,106.5 million in 2017.
  • Total automotive revenues $18.5 Billion in 2018 compared to $9.64 Billion in 2017.
  • Services and other revenue increased to $1.4 billion dollars in 2018 from $1 Billion in 2017.
  • Revenues from energy generation and storage segment grew to $1.55 Billion in 2018 compared to $1.1 Billion in 2017. 
  • Total revenues of Tesla grew to $21.5 Billion in 2018 compared to $11.8 Billion in 2017.
  • Total cost of revenues for the automotive segment of Tesla grew to $14.2 Billion in 2018 compared to $7.4 Billion in 2017.
  • Cost of revenues for services and other segment grew to $1.9 Billion in 2018 from $1.23 Billion in 2017.
  • Cost of revenues for energy generation and storage segment grew to $1.4 Billion from $874 million previous year. 
  • Total Cost of Revenues (including all segments) of Tesla grew to $17.42 Billion in 2018 from $9.54 Billion in 2017.
  • R&D expenses grew to $1.5 Billion in 2018 from $1.4 Billion in 2017 (7% increase). 

Tesla form 10K 2018.

Tesla Fourth Quarter & Full Year 2018 Update.