Tesla’s revenue grew to almost 21.5 billion U.S. dollars in the fiscal year of 2018, an almost 10 billion increase from the previous year. The United States is Tesla's largest sales markets.
Much of Tesla’s spending has specifically been on production of its new Model 3, a strongly popular vehicle with high demand. One response to this surge in popularity for the Model 3 was Tesla’s 2018 purchase of land for the construction of a Gigafactory in Shanghai, China. A factory within China will provide Tesla steady access to the Chinese electric vehicle market, a consistency welcomed in the midst of tensions between the U.S. and China over trade policies.
Revenue rises on model additions
Some 17.6 billion U.S. dollars of Tesla's revenue is generated from its automotive segment, which includes the design, manufacturing, and sales of vehicles. As of 2018, the electric vehicle (EV) maker has a model range that includes the Tesla Model S, Tesla Model X, and the newly released Tesla Model 3. In addition to this, the company has announced that the highly anticipated Model Y will become available in 2020.Model 3 legacy
The Model 3 has emerged as Tesla's best-selling vehicle, but the EV maker has also struggled with consistent net losses in recent years, spending an increasing amount both on selling, general, and administrative (SG&A) activities as well as research and development (R&D) activities.Much of Tesla’s spending has specifically been on production of its new Model 3, a strongly popular vehicle with high demand. One response to this surge in popularity for the Model 3 was Tesla’s 2018 purchase of land for the construction of a Gigafactory in Shanghai, China. A factory within China will provide Tesla steady access to the Chinese electric vehicle market, a consistency welcomed in the midst of tensions between the U.S. and China over trade policies.
