Tesla announced that it has concluded the first quarter of 2024 with the worst decline in turnover since 2012.
The electric car giant created and managed by CEO Elon Musk announced that in the first three months of the year it reported a net income of $1.13 billion, or 34 cents per share, compared to $2.2 billion, or 73 cents per share, in the first quarter of 2023.
Adjusted EPS was equal to 45 cents, significantly below the 51 cents per share expected by the consensus of the analysts interviewed by LSEG.
Revenue amounted to $21.30 billion, slightly above the $22.15 billion expected by LSEG, but down about 9% year-over-year from $25.17 billion in Q1 2023.
The sharp decline in sales, for Tesla, grappling with the intense competition from Chinese electric car manufacturerswas even higher than that suffered in 2020, in the most dramatic period of the Covid-19 pandemic.
In particular, Revenue from the group’s automotive division slipped 13% year-on-year to $17.34 billionduring the first three months of 2024.
The turnover of the energy division rose 7% to $1.64 billion, while that of the services unit reported growth of 25% year-over-year, to $2.29 billion.
The publication of the accounts came following the big announcement from the car giant, a member of the Magnificent 7, which arrived today, relating at the launch of the new Model 3 Performancewhich occurred after months of rumors circulating on the markets and among potential customers.
The characteristics of the new model were made known by Big Tech USA both on the group’s official website and on with an ad hoc post.
New Model 3 Performance launching today 🏎️
→
0-60 mph in 2.9
510 hp / 741 Nm
163 mph top speed
—
Performance-tuned chassis
Same quiet & comfortable cabin plus bespoke chassis hardware for improved stiffness and higher performance baseline.More power,… pic.twitter.com/kJKOuDpOTP
— Tesla (@Tesla) April 23, 2024
Watch out for the reaction of the title which, immediately after the publication of the quarterly, soars on Wall Street by more than 6%, after ending the trading day up 1.85%, at $144.68, and having sunk YTD by more than 40%, in the wake of fears about the giant’s future that have repeatedly bedeviled investors around the world.
The reaction of the TSLA stock on Wall Street is explained by the fact that the sharp drop in sales had already been discounted by the markets for some time.
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In the letter to shareholders, Tesla reiterated its pessimistic view on the economy, while at the same time confirming the acceleration of the launch “of new vehicles, including more affordable models”.
The Mush Giant’s goal is to “fully utilize” current production capacity, in order to “bring back” a growth of over 50% compared to 2023 production”.
(currently being written)