Tesla Inc (NASDAQ:TSLA) shares dropped more than 12% yesterday after the company announced mixed results for its second quarter with earnings missing expectations while revenue surpassed forecasts. The electric vehicle manufacturer also confirmed its timeline to begin production of new, cost-effective models by the first half of 2025.
For the second quarter, Tesla reported adjusted earnings per share of $0.52 on revenue totaling $25.5 billion. These figures compare to Wall Street's expectations of $0.61 per share and $24.33 billion in revenue. The company delivered 443,956 electric vehicles during the quarter, marking a 5% decrease from the same period last year.
Looking forward, Tesla reiterated that the growth rate for vehicle volume in the upcoming period may be significantly lower than the growth rate achieved in 2023. This adjustment is attributed to the company's efforts focused on launching its next-generation vehicles and other new products.
Tesla remains committed to its plans for introducing new vehicles, including more affordable models, with production set to begin in the first half of 2025.