Daily Management Review

Tesla shipments add 83% in last quarter


The latest quarter saw an 83% increase in Tesla shipments to market with record sales of more than 466,000 electric vehicles.

Tesla's global shipments grew by 83% in the second quarter of 2023 thanks to steep drops in electric car prices and large sales incentives. The Wall Street Journal notes that the electric car manufacturer, founded by the richest billionaire Elon Musk, claimed to have sold a record 466,000 automobiles during the April through June quarter.

Following the company's announcement that its first-quarter earnings was lower than anticipated due to decreased prices for electric automobiles, Tesla shares dropped by about 10% in April. Elon Musk, the founder of Tesla, then reaffirmed the company's readiness to accept lesser earnings in exchange for gaining market share by offering cars at lower rates.  

It will be clear to what extent sales initiatives had an influence on revenue when Tesla releases its financial data for the second quarter on July 19. A measure of profitability, Tesla's operating margin dropped from 19.2 percent in the first quarter of 2022 to 11.4 percent in the current period, but it is still better than that of many automakers.

source: wsj.com