Tesla posts record profits as deliveries soared in 2021

Tesla Inc. on Wednesday posted record fourth-quarter and full-year earnings as its deliveries soared despite a global shortage of computer chips that has slowed the entire auto industry.

The Austin company made $5.5 billion last year compared with the previous record year of $3.47 billion in net income posted in 2020. It was the electric vehicle and solar panel maker’s third straight profitable year.

“There should no longer be doubt about the viability and profitability of electric vehicles,” the company said in a letter to shareholders.

Tesla made $2.32 billion in the fourth quarter. Excluding special items such as stock-based compensation, the company made $2.54 per share. That beat Wall Street expectations of $2.36 per share. Revenue for the quarter was $17.72 billion, also ahead of analysts’ estimates of $17.13 billion, according to FactSet.

Of the revenue number, $314 million came from selling regulatory credits to other automakers to meet government pollution standards. That number has been a smaller percentage of revenue for multiple quarters.

Tesla delivered a record 936,000 vehicles last year, nearly double the 2020 figure. Fourth-quarter vehicle sales hit 308,600, also a record.