Listen to “AD #3004 – Tesla Reveals Updated Model S and X; GM to Supply Navistar with Fuel Cells; Toyota Takes Back Sales Crown” on Spreaker.
Follow us on social media:
Runtime: 9:34
0:07 Tesla 2020 Earnings Improve but Investors Disappointed
1:13 Mixed Results for EV Startups
1:36 Tesla Reveals Updated Model S & X
4:27 GM to Supply Navistar with Fuel Cells
5:23 Chip Shortage Could Cost Automakers $61 Billion
6:55 Spin Adds Remote Control Feature To E-Scooters
7:56 Ford to Make Mustang Mach-E in China
8:38 Toyota Takes Back Sales Crown
Visit our sponsors to thank them for their support of Autoline Daily: Bridgestone, Intrepid Control Systems, Magna and SAP.
This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.
TESLA 2020 EARNINGS IMPROVE BUT INVESTORS DISAPPOINTED
Tesla reported its earnings for 2020 and it posted huge improvements across the board. It delivered just under half a million cars, up 36%. Revenue shot up 31% to just over $27 billion. It posted an operating profit of $2 billion versus a small loss the year before that. And it posted a net profit of $721 million versus a loss of $862 million in 2019. Normally you’d say, “Wow!” But investors were disappointed with the numbers. They expected more. And Tesla’s stock dropped 2%. Here’s something else the investment community was uncomfortable with. Tesla earned nearly $1.6 billion from selling regulatory credits, which was two-and-a-half times more than the year before. Without those credits it would not be profitable. And investors who are long on Tesla must be wondering what will happen when other automakers no longer have to buy those credits.
Tesla 2020 Earnings | ||
---|---|---|
Sales | 499,647 | +35.9% |
Revenue | $27.2 Billion | +31% |
Operating Profit | $1.99 Billion | —– |
Net Profit | $721 Million | —– |
MIXED RESULTS FOR EV STARTUPS
So Wall street turned its attention to three other EV startups yesterday. Nikola posted a solid double digit gain, while Fisker and Workhorse benefitted from more buyers than sellers, and had nice returns for the day. But other EV startups like Hyliion, Canoo and Lordstown had a down day and the entire market took a downturn.
Company | Current Price | $ Change | % Change |
---|---|---|---|
Tesla | $864.16 | -$18.93 | -2.1% |
Nikola | $28.58 | +$2.94 | +11.5% |
Fisker | $16.63 | +$1.30 | +8.5% |
Workhorse | $38.80 | +$2.62 | +8.1% |
Hyliion | $18.06 | -$1.37 | -7.1% |
Canoo | $15.14 | -$1.07 | -6.6% |
Lordstown | $26.06 | -$0.39 | -1.5% |
TESLA REVEALS UPDATED MODEL S & X
But back to Tesla, as it introduced the refreshed versions of the Model S and X. Let’s start with the S, which gets a slight exterior update but the most notable changes are to the interior, especially its steering wheel, which looks like it’s from a race car. Tesla calls it a “yoke” and it doesn’t have any stalks. The center display screen is now horizontally mounted and the instrument cluster is smaller than before. The company also added a display screen for rear seat passengers that’s integrated into the back of the center console. And it gets a new glass roof. Tesla got rid of the Performance version and replaced it with the Plaid and Plaid Plus. We think some of the exterior styling changes and even the steering wheel may be exclusive to these models. The Long Range Plus now gets 412 miles of range, the Plaid is slightly lower at 390 miles and the Plaid Plus is expected to have more than 520 miles of range. Tesla also dropped the Model S’s starting price which is now $80,000 and production kicks off sometime this quarter. The Model X also gets a slight exterior design update and the interior is similar to the new Model S. Like the S, the X is dropping the Performance version and replacing it with Plaid but unlike the S, the X didn’t get the Plaid Plus version. The SUVs got a boost in range to 360 miles. Pricing for the new X starts at $90,000 and like the S goes into production this quarter.
GM TO SUPPLY NAVISTAR WITH FUEL CELLS
We keep hearing more and more fuel cell news, especially for heavy trucks, where the application currently seems to make the most sense. Truck maker Navistar announced it’s collaborating with GM and OneH2 to supply customers with trucks, fuel and service. The Navistar International RH Series trucks will be fitted with two of GM’s HydroTech fuel cell power cubes, which each feature 300+ fuel cells as well as thermal and power management systems. Navistar is targeting a range of over 500 miles and a refueling time of less than 15 minutes. OneH2, which handles hydrogen production, storage, delivery and safety, will provide the fuel for Navistar’s customers. Tests kick off next year and the first trucks available to customers should come in 2024.
CHIP SHORTAGE COULD COST AUTOMAKERS $61 BILLION
We’re getting more details on how much the computer chip shortage is going to impact the auto industry. Earlier in the week, LMC Automotive said automakers will produce one million fewer vehicles globally during the first quarter. And now AlixPartners estimates that automakers will lose $14 billion in the first three months of the year and $61 billion for all of 2021. The problem started when auto production shut down during the pandemic, which led chip manufacturers to look to other markets, like consumer electronics. But now that auto production is up and running again, the semiconductor industry can’t keep up with demand.
I know this is going to sound impossible, but a couple of inventors claim they can make a car completely hack proof. And it has nothing to do with better encryption. They’ve designed a wiring system that they say is physically impossible to hack. And if you don’t believe them, see if they can convince you on Autoline After Hours this afternoon. We’ve got one of those inventors, Dan Greene, coming on the show. Henry Payne, the car critic from the Detroit News, will also be along for the ride. So join John and Gary for a peek into what could turn out to be something of a breakthrough.
SPIN ADDS REMOTE CONTROL FEATURE TO E-SCOOTERS
E-scooters can be a cheap and easy way to get around a city but they’re often left all over the place once a rider is finished using it. That’s why Ford’s electric scooter subsidiary Spin, is partnering with software company Tortoise, to launch remotely operated e-scooters. Once a rider is done with the scooter, the technology allows a remote operations team to move the scooter if it’s blocking a sidewalk or street traffic. In the future, it will also allow riders to hail a scooter from several blocks away. Spin will use three-wheeled scooters for this service, instead of the two-wheeled scooters that are more common. Co-developed with Segway-Ninebot, the S-200 e-scooters feature an enhanced suspension, three independent braking systems and turn signals. Spin will test 300 of these e-scooters in Boise, Idaho this spring and will roll them out to other cities in North America and Europe over the next year.
FORD TO MAKE MUSTANG MACH-E IN CHINA
Speaking of Ford, here’s something that kind of surprised us. The automaker announced it’s going to make the Mustang Mach-E in China with local partner Changan for Chinese consumers. As you probably know, the Mach-E is currently made exclusively in Mexico. We thought Mexico had a free trade agreement with China, so shipping the EV should not have been a big issue. However, Ford says it will localize some production, meaning it will use Chinese sourced parts, including for the performance version of the Mach-E. We think that could mean not only the motors but also the batteries as well. The EV will go on sales in China later this year.
TOYOTA TAKES BACK TOP SELLING CROWN
The numbers are coming in for how much the global pandemic impacted Toyota. The automaker, including its Daihatsu and Hino brands, sold more than 9.5 million vehicles worldwide last year. That represents a drop of 11.3% compared to the year before. But despite the hit on sales Toyota was able to take back the crown for #1 selling automaker in the world. It beat out Volkswagen, whose sales fell over 15% to a little more than 9.3 million vehicles.
But that’s it for today, thanks for watching and we’ll see you again tomorrow.
Thanks to our partner for embedding Autoline Daily on its website: WardsAuto.com
John McElroy is an influential thought leader in the automotive industry. He is a journalist, lecturer, commentator and entrepreneur. He created “Autoline Daily,” the first industry webcast of industry news and analysis.