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Tesla Q3 results miss estimates as price cuts dent margins

Published 19/10/2023, 07:24 am
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TSLA
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nvesting.com -- Tesla reported Wednesday quarterly results that missed Wall Street estimates as its recent wave of electric vehicle price cuts weighed on margins.    

Tesla Inc (NASDAQ:TSLA) was flat in afterhours trading following the results.

Tesla reported adjusted EPS of $0.66 on revenue of $23.35 billion. Analysts polled by Investing.com anticipated EPS of $0.73 on revenue of $24.32B.

Gross margins excluding credits, which have been closely watched following recent price EV cuts, slowed to 16.1% in the quarter from 18.7% in Q2.

Tesla delivered 435,000 EVs in Q3, down from 466,140 in Q2, owing to upgrades at various factories, the company said. "During the quarter we brought down several production lines for upgrades at various factories, which led to a sequential decline in production volumes."

Looking ahead, the company maintain expectations to deliver around 1.8 million vehicles for the year and said Cybertruck deliveries remain on track for later this year. 

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