Order holders might be waiting awhile.
Musk said that Tesla may be able to produce 30,000 - 35,000 Powerwalls in the third quarter in a "best case" scenario. The number provides new context for a comment made on Tesla's Q1 earnings call by CFO Zachary Kirkhorn, who stated Tesla had a “multi-quarter backlog” of Powerwall orders. Musk attributed the well-documented semiconductor shortage to Powerwall production constraints.
In late May, Tesla announced that the company had eclipsed 200,000 Powerwalls installed worldwide since inception — totaling more than 2 gigawatt-hours of battery storage. In early 2020, Tesla disclosed their 100,000th installation which points to quarterly Powerwall production of around 20,000 to 25,000 units over the last year.
While Musk's ~30,000 unit third quarter production target won't nearly satisfy demand, it does appear to be an increase from past quarters. At the current rate of production, some Tesla Powerwall orderers may be waiting up to nine months for delivery.
Tesla lists the price of a single Powerwall at $10,500. With 80,000 orders, Tesla's backlog could represent nearly $1 billion in revenue. While bundling multiple Powerwalls does lower the per-unit price, Tesla recently started requiring the purchase of solar panels with each Powerwall order. Taken together, Tesla's order book for residential energy products seems to easily exceed $1 billion.
Each Powerwall has 13.5 kilowatt-hours of energy storage capacity which puts Tesla's order backlog at over 1 gigawatt-hour in total. When will Tesla be able to catch up to Powerwall demand? Let us know on Twitter @teslapodcast.
Disclosure: Rob Maurer and Brennan Ertl are long TSLA stock and derivatives.