Tesla, the leading electric vehicle (EV) manufacturer, announced its Q3 delivery numbers, falling short of Wall Street expectations. The company delivered 435,059 vehicles, a nearly 7% decline from the previous quarter’s figures. The disappointing results were attributed to planned downtimes at Tesla’s factories, which impacted both production and delivery numbers.
Tesla missed Q3 delivery expectations due to planned factory downtimes, leading to lower production and delivery numbers. Despite this setback, the company maintains its target of delivering 1.8 million vehicles in 2023.
Tesla explained that the sequential decline in volumes was a result of scheduled factory upgrades, as discussed during the company’s recent earnings call. Despite this setback, Tesla reaffirmed its target of delivering approximately 1.8 million vehicles in 2023, remaining optimistic about its future growth and production capabilities.
CEO Elon Musk had previously warned investors during the second-quarter earnings call that production and delivery numbers would be affected by the factory upgrades. As a result, Tesla faces the challenge of filling a sales hole of approximately 480,000 vehicles to achieve its annual delivery target.
The announcement had an immediate impact on Tesla’s stock market performance, with shares dropping by about 2% in early morning trading. However, as of now, the decline has been mitigated, with shares down less than 1% at $247.84.
It’s worth noting that despite falling short of expectations, Tesla’s Q3 numbers still reflect growth compared to the same quarter last year. In Q3 2020, the company produced 365,923 vehicles and delivered 343,830.
Looking ahead, Tesla will hold its third-quarter earnings call on October 18, providing further insights into the company’s financial performance and future plans.