Tesla, the electric vehicle pioneer, has released its production and delivery numbers for the third quarter of 2023. As the EV industry continues to evolve, these figures provide a snapshot of Tesla’s performance in a highly competitive market. Here’s a breakdown of the key numbers and what they mean for the company’s outlook.
- Total Deliveries: 435,059
- Total Production: 430,488
Comparing these numbers to the previous quarter, Tesla reported total deliveries of 466,140 and total vehicle production of 479,700. However, it’s important to note that the third quarter saw a sequential decline in volumes. This decline was primarily due to planned downtimes for factory upgrades, as discussed during Tesla’s recent earnings call. Despite this dip, Tesla maintains its 2023 volume target of approximately 1.8 million vehicles.
Market Response and Stock Performance
On the heels of this announcement, Tesla’s stock saw a modest uptick of around 1% on Monday. Investors and analysts have been closely monitoring Tesla’s performance as the company navigates both production challenges and competitive pressures in the electric vehicle sector.
CEO Elon Musk’s Previous Guidance
During the previous earnings call in July, CEO Elon Musk cautioned that Tesla would continue to target 1.8 million vehicle deliveries for the year. However, he also anticipated a slight decline in third-quarter production due to summer shutdowns for various factory upgrades. The recent numbers appear to align with Musk’s earlier guidance.
The Semi and Ongoing Developments
It’s worth noting that Tesla is still not providing detailed production or delivery figures for the Semi, its Class 8 electric truck. Nevertheless, the company has delivered some Semi trucks to early customers, including PepsiCo, which is using these fully electric vehicles for select deliveries.
Analyst Expectations vs. Actual Numbers
Wall Street had been anticipating Tesla deliveries to reach 461,640 for the third quarter, based on a consensus of analysts’ estimates. An independent Tesla researcher, known as Troy Teslike on social media, had a slightly lower expectation of 441,000 deliveries. Interestingly, Tesla’s own compiled consensus, shared with select investors, indicated that Wall Street was expecting around 455,000 total deliveries, with a median estimate of 453,128 deliveries for the quarter, based on 25 analysts’ estimates.
Tesla’s Pricing Strategies and Model Updates
During the third quarter, Tesla implemented price reductions on its inventory vehicles and existing models, prompting other industry players to consider similar moves. Additionally, Tesla unveiled an updated version of its Model 3 sedan, known as the “Highland,” featuring both exterior and interior enhancements. Notable interior additions include touchscreen displays for rear-seat passengers and ventilated seats. The refreshed Model 3 comes with a long-range battery option that offers an impressive range of approximately 390 miles per charge.
Changes in Tesla’s Executive Leadership
In August, Tesla witnessed a change in its executive leadership when CFO Zachary Kirkhorn stepped aside. The company announced that Chief Accounting Officer Vaibhav Taneja would now assume both roles. Tesla’s upcoming earnings call will be the first with Taneja serving as CFO, and market observers will be keen to see how this transition impacts the company’s financial strategy and outlook.
As Tesla continues to chart its course in the rapidly evolving electric vehicle landscape, these production and delivery numbers offer valuable insights into its performance and growth trajectory.