Tesla mentioned that manufacturing in Shanghai rebounded in June and that the Berlin and Austin factories had been making progress. “We’re targeted on a record-breaking second half of 2022,” Tesla mentioned in its earnings presentation.
The marketplace for electrical autos is turning into extra aggressive, and conventional carmakers are eroding Tesla’s lead. Hyundai, Kia and Ford Motor have gained vital market share, whereas Tesla has misplaced floor in the USA. Tesla had a 66 p.c share of the U.S. electrical car market on the finish of the second quarter, in accordance with figures compiled by Kelley Blue E-book, down from 78 p.c within the fourth quarter of 2021.
Tesla’s issues are principally brief time period, and income ought to enhance in months to return, Laura Hoy, an fairness analyst on the funding agency Hargreaves Lansdown, mentioned in an e mail. However she expressed concern about Tesla’s publicity to Bitcoin.
“The Bitcoin losses level out an necessary a part of the Tesla funding case — its eccentric proprietor,” Ms. Hoy mentioned. “Whereas Musk’s spectacular innovation has served the corporate properly, his private aptitude is beginning to increase governance questions.”
Mr. Musk mentioned Tesla had bought its Bitcoin holdings to extend its money cushion in gentle of the issues in Shanghai. “This shouldn’t be taken as some verdict on Bitcoin,” he mentioned Wednesday. Tesla has not bought its holdings of one other cryptocurrency, Dogecoin, he mentioned.
Tesla had $18.3 billion in money and money equivalents through the quarter, in accordance with the corporate.
Cryptocurrency is a “sideshow” and “not one thing we take into consideration quite a bit,” Mr. Musk mentioned.