Just months after announcing its entry into the cryptocurrency market, Tesla began reaping the rewards of its Bitcoin investment.
It is the most prominent point in the automaker's first-quarter earnings report, released on Monday, as the company's $ 10.4 billion in revenue and earnings of 93 cents per share exceeded Wall Street's expectations.
Net income was $ 438 million, a record quarterly for the company. Tesla also expects vehicle deliveries to increase by more than 50 percent this year from the total in 2020, about 800,000 cars in 2021.
But Tesla did not achieve its record profits from selling cars, and the company said it sold $ 1.5 billion of the bitcoins it bought in February, which contributed to adding $ 101 million to net profits, nearly a quarter of its total profits, according to a report by the Wall newspaper. Street Journal.
Tesla's sales of regulatory funds earmarked for other automakers to help them meet emissions decisions, which carry a 100 percent profit margin, amounted to $ 518 million, which represents nearly 100 percent of Tesla's income of $ 533 million before tax.
Tesla shares traded slightly lower after the shares closed on Monday, and their record prices are about 16 percent down from their peak in early January.
But the company's market value still exceeds $ 700 billion, more than five times the total value of Ford and General Motors.
Ford sold more than half a million cars in the first quarter in the United States, more than double the total Tesla cars worldwide.
If Tesla continues its first-quarter results over the next three quarters, the stock will trade at nearly 200 times this year's adjusted earnings, according to the American newspaper.
Tesla's share of the electric car market dwindled in existing markets such as Western Europe and the United States, as major car companies such as Volkswagen, Ford and General Motors began making unremitting efforts to enter the world of electric cars.
Tesla recently set records in Chinese sales, but domestic competitors are starting to appear there, too.
And regulators in China and the United States recently questioned the company over the safety of its driver assistance program, which Tesla calls self-driving feature.
Tesla closed the quarter with $ 17.1 billion in cash on its books, so it has the ability to "take a heavy hit", even if its share price drags on, according to the newspaper.
"But in today's assessment, the risk of owning stocks extends far beyond whether CEO Elon Musk ... could still be a skilled cryptocurrency trader."
The Bitcoin currency had recorded a record last February, rising above 48 thousand dollars, to return afterwards and stabilize at levels of 45 thousand dollars, as Tesla announced its investment of 1.5 billion dollars in the digital currency recently.
The electric car manufacturer revealed this investment, about 10 days after adding the bitcoin hashtag on Elon Musk's account via Twitter, while the company said that it would accept payment to buy its cars via Bitcoin during the coming period, which ignited prices and competition in the market for this currency.
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