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These numbers are not prepared under GAAP for the automotive industry, since there is no such thing as GAAP per-automotive profit margins for global auto manufa
by gamblor956 7y ago
These numbers are not prepared under GAAP for the automotive industry, since there is no such thing as GAAP per-automotive profit margins for global auto manufacturers. Vehicle pricing is too dependent on both the class of the vehicle and the geographic market for a single global number to be meaningful. (For example, Toyota profitably sells vehicles that range from $1000 to commercial vehicles that sell for $250,000 or more.)
Tesla provides these numbers because its financials on a GAAP basis show it is under-performing most of its competitors. Despite selling more cars than all of its luxury competitors, Tesla lost money doing so. Its competitors may not sell as many vehicles, but they made profits on a GAAP basis...(and using Tesla's rubrics, would have even higher per-vehicle profits than Tesla since those profits account for capex and other items that Tesla excludes).