Tesla on Tuesday Posted Its vehicle production and delivery numbers for the second quarter of 2024 exceeded analysts' expectations.
Here are an important figures:
Total deliveries Q2 2024: 443,956 vehicles
Total production Q2 2024: 410,831 vehicles
Tesla's numbers beat Wall Street estimates. Analysts expected Tesla deliveries to achieve 439,000 within the three months ended June 30, based on a consensus of estimates compiled by FactSet StreetAccount. Total deliveries within the second quarter fell 4.8% from 466,140 a 12 months earlier, but were 14.8% higher than the primary quarter of 2024.
The electric automobile maker's shares rose greater than 8 percent in early trading on better-than-expected delivery reports.
Before the report, Tesla shares had fallen 16% for 2024, although they rose 6% on Monday.
Deliveries are probably the most accurate estimate of sales figures released by the electrical automobile maker. Tesla groups deliveries into two categories – Model 3 and Model Y and all other vehicles – but doesn’t disclose numbers for individual models or specific regions.
Tesla's current product range includes the favored Model Y crossover business vehicles, the Model 3 sedans and the brand new Cybertruck pickup, in addition to the Model X SUV and the Model S flagship sedan.
In April, Tesla reported an 8.5% drop in first-quarter deliveries to 386,810, the primary annual decline since 2020. Weeks later, the corporate reported a 13% year-over-year decline in revenue, “primarily due to the lower average selling price.”
Tesla said the sluggish sales were partly on account of temporary factory closures in response to a suspected arson attack on Tesla's factory in Germany and delivery delays because of this of the conflicts within the Red Sea.
However, the decline in sales also correlated with Tesla’s aging vehicle range, increasing competition from other electric automobile manufacturers, especially in China, and brand erosion, which a recent survey This is partly on account of the “escapades” and “political tirades” of CEO Elon Musk.
Tesla has offered quite a few discounts and other incentives this 12 months to spice up sales.
In China, Tesla currently offers a interest-free loan as an incentive to get customers to purchase a Model 3 or Model Y by July 31. According to the 2023 Annual Report submissionTesla generated roughly $21.75 billion of its total revenue in China, representing 22.5% of total revenue.
Wells Fargo analyst Colin Langan issued a report on Monday saying the corporate fears “declining delivery growth due to lower demand and lower returns from price cuts.” He recommends selling Tesla shares.
Wells Fargo expects Tesla's automotive gross margins (excluding environmental credits) to say no later this 12 months given the “likelihood of further price cuts and lower sales.”
Investors' focus now turns to Tesla's second-quarter earnings report later this month and a separate marketing event planned for August where the corporate plans to unveil the design of a special robotaxis, or “CyberCab.”
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