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Tesla on Tuesday Posts The company announced vehicle production and delivery numbers for the second quarter of 2024 that beat analyst expectations.
The important numbers are:
Total deliveries in Q2 2024: 443,956 units
Total production in Q2 2024: 410,831 units
Tesla’s numbers beat Wall Street expectations. Analysts had expected Tesla to deliver 439,000 vehicles in the three months ended June 30, according to a consensus of estimates compiled by FactSet Street Accounts. Second-quarter deliveries were down 4.8% from 466,140 in the same period last year but 14.8% higher than the first quarter of 2024.
The EV maker’s shares rose more than 8% in early morning trading after the better-than-expected delivery report.
Prior to the report, Tesla shares were still down 16% for 2024 after rising 6% on Monday.
The deliveries are the closest to sales figures reported by electric-car makers. Tesla breaks down deliveries into two categories — the Model 3, Model Y and all other vehicles — but doesn’t report numbers for individual models or in specific regions.
Tesla’s current lineup includes the popular Model Y crossover utility vehicle, the Model 3 sedan, the new Cybertruck pickup truck, the Model X SUV, and the flagship Model S sedan.
Tesla announced in April that its first-quarter deliveries fell 8.5% year over year to 386,810 vehicles, marking its first decline since 2020. A few weeks later, the company said its revenue for the quarter was down 13% year over year, “primarily due to lower average selling prices.”
Tesla blames the slowdown on a number of factors, including a temporary factory closure following an alleged arson attack at a Tesla factory in Germany, as well as shipping delays due to the Red Sea conflict.
A new Tesla car is on display in front of the Tilburg Factory & Distribution Centre in Tilburg.
Sebastian Gollnow | Picture Alliance | Getty Images
But the sales decline is also correlated with Tesla’s aging vehicle lineup, increased competition from other EV makers, especially in China, and a weakening of its brand. Recent Research This has been attributed in part to CEO Elon Musk’s “eccentricities” and “political rants.”
Tesla has offered a variety of discounts and other incentives this year in an effort to spur sales.
Tesla is currently in China Interest-free loan As an incentive to get people to buy a Model 3 or Model Y by July 31, according to the 2023 annual report. FilingTesla derives approximately $21.75 billion of its total sales from China, accounting for 22.5% of its total sales.
Wells Fargo analyst Colin Langan said in a report on Monday that the company sees “slower delivery growth due to lower demand and reduced margins from price cuts.” He is recommending a sell on Tesla shares.
Wells Fargo expects “the likelihood of further price cuts and volume declines” to increase as the year progresses, leading to a decline in Tesla’s auto division’s gross profit, excluding environmental credits.
Investor attention will now turn to Tesla’s second-quarter earnings report later this month and another marketing event planned for August, when the company is expected to unveil designs for its purpose-built robotaxi, or so-called “cybercab.”
—CNBC’s Jordan Novett contributed to this report.