Tesla books huge profit from Bitcoin sale in Q1
April 26, 2021. Summarized by summa-bot.
Compression ratio: 54.5%. 1 min read.
Tesla made a quick profit on its Bitcoin holdings, its quarterly earnings report reveals.
Tesla Motors sold a portion of its Bitcoin (BTC) holdings in the first quarter of 2021, generating net proceeds of $272 million, the electric vehicle maker reported Monday.
In a 30-page slide deck accompanying its quarterly financial results, Tesla noted a $101 million "positive impact" as a result of its Bitcoin sale:
"Year over year, positive impacts from volume growth, regulatory credit revenue growth, gross margin improvement driven by further product cost reductions and sale of Bitcoin ($101M positive impact, net of related impairments, in Restructuring & Other line), were mainly offset by a lower ASP, increased SBC, additional supply chain costs, R&D investments and other items.
In its quarterly cash flow statement, the company said "proceeds from sales of digital assets" were valued at $272 million.