Tesla’s gross margins reached 19.2% in the fourth quarter of 2020, the lowest since the last quarter of 2019. Capital expenditures hit $1.15 billion for the period ending December 31, 2020.
The company also reported positive free cash flow for the year of $2.79 billion, more than double the 2019 figure of $1.08 billion.
In 2020, we produced and delivered half a million vehicles, in line with our most recent guidance. In addition, Model Y production in Shanghai has begun, with deliveries expected to begin shortly.
Q4 2020
| Production | Deliveries | Subject to operating lease accounting | |
| Model S/X | 16,097 | 18,920 | 11% |
| Model 3/Y | 163,660 | 161,650 | 7% |
| Total | 179,757 | 180,570 | 8% |
2020
| Production | Deliveries | ||
| Model S/X | 54,805 | 57,039 | |
| Model 3/Y | 454,932 | 442,511 | |
| Total | 509,737 | 499,550 |
Vehicle sales in China largely enabled Tesla to hit record deliveries in 2020. So did the introduction of a new crossover SUV, the Model Y, which Tesla began to produce in serious volumes in the first quarter last year out of its Fremont, California car plant.
Thank you to all of our customers, employees, suppliers, shareholders and supporters who helped us achieve another great year.
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Our net income and cash flow results will be announced along with the rest of our financial performance when we announce Q4 earnings. Our delivery count should be viewed as slightly conservative, as we only count a car as delivered if it is transferred to the customer and all paperwork is correct. Final numbers could vary by up to 0.5% or more. Tesla vehicle deliveries represent only one measure of the company’s financial performance and should not be relied on as an indicator of quarterly financial results, which depend on a variety of factors, including the cost of sales, foreign exchange movements and mix of directly leased vehicles.
