Tesla reported record fourth-quarter profits and is poised to face “short-term uncertainties” amid growing doubts about demand for its electric vehicles.
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During the period, the group saw revenue grow 37% to $24.3 billion and net income jump 59% to $3.7 billion, according to a press release published on Wednesday.
“We know there are questions about the near-term implications of the uncertain macro environment, especially as interest rates rise,” Tesla said.
But the company “is used to challenges,” the group adds. For now, it is “accelerating its cost-cutting program and targeting higher production rates.”
Some observers fear that the economic slowdown, the rise in interest rates that make it more expensive to buy a car on credit and the emergence of numerous competitors on the electric vehicle market, both start-ups and traditional manufacturers, will not hinder the development of Tesla.
In 2022, Tesla delivered 1.31 million electric vehicles, a record and a 40% increase in one year. But the company had set a long-term goal of increasing its shipments by an average of 50% per year.
The group’s stock lost 65% in 2022 before recovering somewhat since the start of the year.
In order to boost sales, Tesla has reduced prices in recent months, first in China, then in Europe and the USA. A decision considered necessary by some analysts to defend its market share, by others as a sign of weakness.
Tesla, for its part, says on Wednesday that it needs to make its cars more accessible in order to become a multimillion-vehicle manufacturer.
The manufacturer also expects to launch its semi electric truck, the first model of which was delivered in December, and its Cybertruck pickup, which should normally be available later in the year.
The action rose 0.3% in electronic trading after the Wall Street close.