This is how much money Tesla makes with every electric car sold

Tesla made eight times more profit per car than competitor Toyota. The company led by Elon Musk sold far fewer vehicles. The backgrounds.

Measured by vehicle sales, Toyota is the largest automobile manufacturer in the world. In 2021, the Japanese company sold around 10.5 million vehicles.

But as far as profits are concerned, the Japanese are not at the top. Because how Electrek and Nike Asia report, another company earns eight times more per vehicle sold than Toyota, namely Tesla.

Although the e-car manufacturer does not deliver nearly as many vehicles as other car manufacturers, no one earns more per car than the Musk group.

Tesla posts $3.29 billion in net income

This can be seen from the figures from the third quarter of 2022. Electrek compared the net profit of the US e-car maker with the income of Toyota.

Tesla reported a profit of $3.29 billion. The Japanese, on the other hand, have to be satisfied with the equivalent of 3.15 billion US dollars.

Tesla’s success is primarily due to the profitability of the individual vehicles. For example, Toyota sold 2.62 million cars, earning around $1,200 per car.

However, Tesla earns eight times as much on a vehicle, namely $9,570. And that despite the fact that the company sold just 344,000 vehicles during the period under review.

Almost daily $50 million cash flow

That Tesla outperformed Toyota in one quarter seems particularly impressive. Because consider that a decade ago, the Japanese automaker still owned about three percent of Musk’s company with an investment of $50 million.

But in 2017, Toyota divested itself of its shares and completely severed ties with the company. Meanwhile, Tesla is generating $50 million in free cash flow almost every other day.

The reason for Toyota’s loss

Toyota’s decline is due in part to extraordinary factors, writes Nikkei. The car manufacturer currently has to shoulder increased material and electricity costs for its suppliers. That depressed quarterly operating profit by about $3.07 billion.

Accordingly, the weak yen and the costs of closing down production in Russia also have a negative impact on Toyota’s quarterly figures.

Tesla makes $5,500 per car

However, none of this changes the fact that Tesla makes the most profit in comparison. In the third quarter was the net profit margin at 15 percent. That means around $5,500 from every car sold went into their own pockets.

Tesla is ahead thanks to e-cars

The gap between Tesla and Toyota is loud Nikkei due to the fundamentally different strategies of the two automobile manufacturers. While Toyota offers a wide range of vehicles that covers petrol and electric cars alike, the US manufacturer now focuses exclusively on electric vehicles.

The Tesla Model 3 in the USA starts at around 40,000 US dollars. Nor did Elon Musk hesitate to raise prices to pass rising material costs on to his customers.

And although the charging infrastructure still needs to be expanded in many places, the number of new registrations of e-cars has increased continuously since 2012. In 2021, for example, around 6.7 million electric vehicles were sold worldwide – and Tesla is by far the leading manufacturer.

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