Tesla quarterly deliveries decline for the first time in nearly four years
Business
Tesla quarterly deliveries decline for the first time in nearly four years
(Reuters) - Tesla (TSLA.O), opens new tab on Tuesday posted a decline in quarterly deliveries for the first time in nearly four years and missed Wall Street estimates, a performance some described as "ugly" as price cuts failed to stir demand in a highly competitive market.
Shares of the Elon Musk-led company were down 5.3% at $165.98 at midday on Tuesday, losing about $30 billion in market value. The shares have fallen about 33% so far this year.
After years of rapid sales growth that helped turn Tesla into the world's most valuable automaker, the company is bracing for a slowdown in 2024.
The EV maker has been slow to refresh its aging models as high interest rates have sapped consumer appetite for big-ticket items and rivals in China, the world's largest auto market, are rolling out cheaper models.
Tesla's deliveries declined by 8.5% in the first quarter to 386,810 vehicles from a year ago and the company produced 433,371 vehicles during the period. Wall Street on average had expected Tesla to deliver 454,200 vehicles, according to 18 analysts polled by Visible Alpha.
