4:43 pm, January 25, 2024
Tesla recorded its slowest revenue growth for more than three years during the last three months of 2023.
The EV manufacturer said revenue grew by just 3% to $25.17bn (circa £19.82bn) between October and December, but analysts had predicted $25.62bn (£20.17bn), The Times reported today.
Gross margins were hit as well, dropping to 17.6% from 23.8% year on year for the quarter and lower than the 18.3% average estimate of analysts. During July to September, its gross margin was 17.9%.
Meanwhile, its adjusted Ebitda for the fourth quarter dropped by 27% year on year from $5.404bn (£4.251bn) to $3.953bn (£3.11bn).
It slashed its prices last year in Germany, the US and China, with the ticket on the Model Y dropping by up to 26.5% in the US.
In its Q4 and financial year update, Tesla said it delivered more than 1.2m Model Ys, making the EV the best-selling vehicle of any kind globally.
Tesla also warned of a ‘notably lower’ sales growth during this year. However, it’s still predicted to shift a fifth more units – 2.2m – than it did last year, with its ‘next-generation vehicle’ on the way.
It was able to achieve its delivery target of 1.8m cars last year – up 38% on 2022’s 1.3m – although as reported by Car Dealer at the beginning of this month, it lost its sales crown to BYD for the last quarter of 2023.
Record deliveries of 484,507 cars during the quarter sent margins down as well, said The Times, with price cuts and costs relating to the increase in production of the Cybertruck counterbalancing the lower costs of raw material for batteries.
Tesla reckons it’ll be able to build more than 125,000 of the pick-ups a year.
Main image: AP photo by David Zalubowski, via PA
