Projects 50% growth next year over its 2023 production volumes
The company on Wednesday reported adjusted earnings of 72 cents per share for the quarter, above the average analyst estimate. It reiterated plans to start production of more affordable models in the first half of 2025, saying it projects 50 per cent growth next year over its 2023 production volumes.
Shares of the company soared as much as 9.9 per cent in post-market trading Wednesday after closing regular trading down 14 per cent for the year.
Tesla indicated it expects another strong quarter of deliveries after a robust third quarter, saying it anticipates higher volumes for the full year. It won’t be easy, given the slowdown in deliveries Tesla posted in the first half of the year, and the carmaker will need to significantly increase sales in the fourth quarter to surpass — or even match — 2023’s sales.
“Despite ongoing macroeconomic conditions, we expect to achieve slight growth in vehicle deliveries in 2024,” Tesla said in a statement.
Tesla attributed those profit gains to its higher delivery volumes and also booming sales of regulatory credits to other carmakers needing help to meet their emissions requirements. Revenue from regulatory credits came to US$739 million in the three months ended Sept. 30 — a record for the period but below the US$890 million it earned in the second quarter.