But the automaker made a considerable comeback in terms of production and revenue in its Q3 2024 report
- After a rough start to 2024, Tesla’s vehicle production and revenue rose in the third quarter
- Elon Musk has confirmed his promised inexpensive “Model 2” is not going to happen
- And the high-performance Tesla Roadster has been delayed—again
But during the third-quarter call, Elon Musk also announced that he won’t be building a lower-cost consumer car as he previously promised, and that his also-promised Tesla Roadster has been delayed again.
During the earnings call, Musk was asked when Tesla would “give us the $25,000 regular non-Robotaxi car model.” Musk replied that, “I think we’ve been very clear that the future is autonomous,” and that, “Basically, having a regular $25,000 model is pointless. It would be silly. It would be completely at odds with what we believe.”
We’re suggesting caution, because during the call, Musk said that he’d “certainly like to thank our long-suffering deposit holders of the Tesla Roadster,” saying that the company is close to finalizing the car’s design, “but it has to come behind the things that have a more serious impact on the good of the world.”
The average selling price per vehicle was just under US$40,700 in the third quarter, about US$1,000 lower than in the second quarter due to vehicle price cuts and discounted financing.
Much of the automaker’s revenue came from selling some US$739 million in regulatory credits. In the U.S., automakers must produce a minimum number of zero-emission vehicles (ZEVs) relative to their total output, and they receive regulatory credits for them. They must earn a certain number of credits annually and if they don’t, they can buy them from companies that have more than they need. Since Tesla only makes ZEVs, it ends up with a lot of credits, which it sells at what is basically pure profit.
Musk also said that he expects to see 20% to 30% vehicle sales growth in 2025; that the Cybertruck is now the third-best-selling EV in the U.S. behind the Model 3 and Model Y; and that the Cybercab will go into volume production in 2026 with a goal of “at least two million units a year.”
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