Question

Sales information for Tesla Inc. follows.Year Ended December 31 ($ thousands) 2018 2017 2016Automotive sales $17,631,522 $8,534,752 $5,589,007Automotive leasing 883,461 1,106,548 761,759Total automotive revenues 18,514,983 9,641,300 6,350,766Services and other 1,391,041 1,001,185 467,972Total automotive & services and other segment revenue 19,906,024 10,642,485 6,818,738Energy generation and storage segment revenue 1,555,244 1,116,266 181,394Total revenues $21,461,268 $11,758,751 $7,000,132Automotive sales revenue includes revenues related to sale of new Model S, Model X and Model 3 vehicles, including access to our Supercharger network, internet connectivity, Autopilot, full self-driving and over-the-air software updates.Automotive leasing revenue includes the amortization of revenue for Model S and Model X vehicles under direct lease agreements as well as those sold with resale value guarantees accounted for as operating leases under lease accounting. We do not yet offer leasing for Model 3 vehicles.Services and other revenue consists of non-warranty after-sales vehicle services, sales of used vehicles, sales of electric vehicle components and systems to other manufacturers, retail merchandise, and sales by our acquired subsidiaries to third party customers.Energy generation and storage revenues consists of the sale of solar energy systems and energy storage systems to residential, small commercial, and large commercial and utility grade customers.Compute the relative size of sales revenue from the four types of revenue Tesla discloses. (Hint: Scale each type of revenue by total revenue.)Round answers to the nearest whole percentage.

Answer 1

Answer:

Tesla Inc.

The Relative Size of Sales Revenue from the Four Types of Revenue

Year Ended December 31                             2018          2017           2016

Automotive sales                                            82%           73%            80%

Automotive leasing                                          4%              9%             11%

Services and other                                           7%              9%              7%

Energy generation & storage revenue           7%              9%             2%

Total revenues                                             100%          100%          100%

Explanation:

a) Data and Calculations:

Year Ended December 31 ($ thousands)     2018             2017            2016

Automotive sales                                 $17,631,522 $8,534,752 $5,589,007

Automotive leasing                                    883,461     1,106,548        761,759

Total automotive revenues                   18,514,983    9,641,300   6,350,766

Services and other                                   1,391,041      1,001,185       467,972

Total automotive & services revenue 19,906,024  10,642,485    6,818,738

Energy generation & storage revenue 1,555,244      1,116,266        181,394

Total revenues                                   $21,461,268  $11,758,751  $7,000,132

Year Ended December 31                2018              2017               2016

($ thousands)  

Automotive sales                  $17,631,522   $8,534,752   $5,589,007

Automotive leasing                     883,461       1,106,548          761,759

Services and other                    1,391,041        1,001,185         467,972

Energy generation & storage 1,555,244        1,116,266          181,394

Total revenues                    $21,461,268    $11,758,751    $7,000,132

2018:

Automotive sales =     82% ($17,631,522/$21,461,268 * 100)

Automotive leasing =   4% ($883,461/$21,461,268 * 100)

Services and others =  7% ($1,391,041/$21,461,268 * 100)

Energy generation & storage = 7% ($1,555,244/$21,461,268 * 100)

2017:

Automotive sales = 73% ($8,534,752/$11,758,751 * 100)

Automotive leasing = 9% ($1,106,548/$11,758,751 * 100)

Services and others = 9% ($1,001,185/$11,758,751 * 100)

Energy generation & storage = 9% ($1,116,266/$11,758,751 * 100)

2016:

Automotive sales = 80% ($5,589,007/$7,000,132 * 100)

Automotive leasing = 11% ($761,759/$7,000,132 * 100)

Services and others = 7% ($467,972/$7,000,132 * 100)

Energy generation & storage = 2% ($181,394/$7,000,132 * 100)