Comparing the Big Three: An Insight into TESLA, GM, and Ford’s Financial Performance in Q4 2022

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Tesla Ford GM Q4 2022

Introduction Introduction to the companies:

TESLA, GM, and Ford are three of the largest automobile companies in the world, known for their innovative technologies, environmental awareness, and commitment to delivering quality vehicles. In this article, we will take a deep dive into their financial performance in the fourth quarter of 2022, specifically focusing on their GAAP net income.

Number of Vehicle deliveries by TESLA , GM and Ford:

Tesla delivered 1.31 million deliveries world wide .Which is grow of around 40% year over year. now bad for Company with P/E hanging around 49.3 .

GM Delivered around 2.27 million vehicles in US , ( out side US anyway GM is not that strong ) . Which is pretty good as it’s highest selling vehicles in US.

Ford on other hand is struggling for vehicle deliveries . only manage to deliver 483,970 vehicles.

What is GAAP Net Income and Why is it Important?

GAAP stands for Generally Accepted Accounting Principles, a set of standards used to maintain consistency and transparency in financial reporting. Net income is the difference between a company’s revenue and expenses, representing the profits generated over a certain period. GAAP net income is crucial in evaluating a company’s financial performance and stability, as it reflects the company’s ability to generate profits and cover its expenses.

Comparing TESLA, GM, and Ford’s GAAP Net Income in Q4 2022 :

In the fourth quarter of 2022, TESLA’s GAAP net income was $9,097 per vehicle delivery, which was significantly higher than GM’s $1,289 and Ford’s $1,123. This impressive performance by TESLA can be attributed to its focus on electric vehicles, which have been growing in popularity due to environmental concerns and advancements in technology. GM and Ford, on the other hand, are still heavily reliant on traditional gasoline vehicles, which may have affected their financial performance in the quarter.

Tesla , GM , Ford Q4 net income per vehicle sold 2022
GAAP Net Income in $ mm

Conclusion In conclusion,

TESLA’s strong performance in the fourth quarter of 2022, particularly in terms of GAAP net income, highlights the company’s ability to generate profits and stay ahead of its competitors in the rapidly evolving automobile industry. GM and Ford, while still leading players in the market, have some catching up to do in terms of adapting to the changing landscape and shifting consumer preferences.

Overall, GAAP net income is a crucial metric in evaluating a company’s financial performance and stability, and it is important to keep an eye on this metric when analyzing the financial performance of TESLA, GM, and Ford.