Demand for Tesla energy storage products continues to outstrip supply, the company said Wednesday in its fourth quarter results. Energy storage deployments for the quarter totaled 2.5 GWh, a 152% year-over-year increase.
Tesla deployed 6.5 GWh of storage in 2022, “by far the highest level of deployments we have achieved,” the company said.
“Demand for our storage products remains in excess of our ability to supply,” it said.
Tesla is ramping production at its 40 GWh Megapack factory in Lathrop, California, in response to the growing demand.
Tesla also said solar deployments were up 18% in the fourth quarter, “one of the strongest quarters in recent years.”
“Despite supply chain challenges,” the company said it deployed 348 MW in 2022, “the highest deployment since 2017.”
“Our solar installation team continues to improve installation efficiency, enabling higher volumes and stronger economics,” the company said.
Tesla reported fourth-quarter earnings of $1.19/share, higher than analysts anticipated, helping push shares of the company up almost 10% Thursday morning to $160/share.
“The bottom line beat” was driven by a lower-than-modeled tax rate as well as contributions from interest income, said analysts at Bank of America.
Revenue came in ahead of estimates, but higher cost of goods sold pulled profit below expectations, leading to a miss on estimates for operating income, according to BofA Global Research.
The “stock appears fairly priced,” BofA said.