Tesla Falls Short of Delivery Expectations in Q1
Tesla Reports Lower Than Expected Delivery Numbers
Tesla (NASDAQ:) disappointed analysts with its first-quarter delivery numbers, causing a 5% drop in Tesla stock. The electric vehicle giant delivered 386,810 vehicles, falling short of the estimated 449,080 according to Bloomberg consensus.
Model 3 and Model Y Deliveries Decline Year-Over-Year
Specifically, Model 3 and Model Y deliveries totaled 369,783, marking a 10% decline from the previous year and missing the expected 426,940 units. Production for the quarter reached 433,371 vehicles, below the anticipated 452,976, with Model 3/Y contributing 412,376 to the total, also falling short of the 439,194 forecast.
Challenges Faced by Tesla in Q1
Tesla attributed the decline in volumes to issues such as the early phase of the production ramp of the updated Model 3 at the Fremont factory, factory shutdowns due to shipping diversions caused by the Red Sea conflict, and an arson attack at Gigafactory Berlin. Additionally, Tesla deployed 4,053 MWh of energy storage products during the quarter.
Analysts React to Tesla’s Performance
Wedbush analysts expressed shock at Tesla’s Q1 numbers, calling it an “unmitigated disaster” that is hard to explain. They believe this could be a turning point for Tesla, urging CEO Elon Musk to reverse this performance to avoid potential disruptions in the company’s long-term narrative.
