Tesla released its third-quarter vehicle production and delivery report for 2023, revealing key numbers that indicate the company’s performance. While the data shows a decline compared to the previous quarter, Tesla remains confident in its overall volume target for the year. The report also highlights significant updates and developments within the company, including the introduction of a revamped Model 3 sedan. Let’s dive into the specifics.
Total deliveries for Q3 2023 reached 435,059 vehicles, while the total production during the same period amounted to 430,488. Comparatively, the previous quarter recorded higher figures with total deliveries of 466,140 and total vehicle production of 479,700. In Q3 2022, Tesla reported total vehicle production of 365,923 and deliveries of 343,830.
Tesla attributes the sequential decline in volumes to planned downtimes for factory upgrades, as discussed during the company’s most recent earnings call. CEO Elon Musk had previously cautioned that third-quarter production might decrease slightly due to summer shutdowns for factory upgrades. Despite this temporary setback, Tesla maintains its target of achieving a total volume of around 1.8 million vehicles in 2023.
Following the release of the report, Tesla’s stock saw a modest 1% increase on Monday. This suggests that investors remain optimistic about the company’s long-term prospects and the potential for meeting its delivery targets.
Although the report provided production and delivery numbers for other vehicle models, Tesla has yet to disclose specific figures for the Semi, its class 8 electric truck. However, the company did confirm the delivery of some Semi trucks to its early customer, PepsiCo, which has incorporated them into its delivery fleet. The market eagerly awaits further updates on the progress and performance of the Semi.
Prior to the report’s release, Wall Street analysts estimated Tesla’s Q3 2023 deliveries to be around 461,640 vehicles. In contrast, an independent Tesla researcher, Troy Teslike, projected deliveries of 441,000 vehicles. Tesla’s own internal consensus, shared with select investors, revealed that Wall Street expected approximately 455,000 total deliveries for the quarter. The median estimate from the consensus was 453,128 deliveries, based on the input of 25 analysts.
Throughout the third quarter, Tesla implemented price reductions for its inventory vehicles and existing models. These price cuts created a ripple effect in the market, putting pressure on competitors to follow suit. Additionally, Tesla unveiled a refreshed version of its popular Model 3 sedan, referred to as the “Highland.” The revamped model boasts new exterior and interior features, including touchscreen displays for rear-seat passengers and ventilated seats. The vehicle also offers a long-range battery option, providing an impressive driving range of approximately 390 miles per charge (629 km).
In August, Tesla’s Chief Financial Officer, Zachary Kirkhorn, announced his decision to step aside from his role. As a result, Chief Accounting Officer Vaibhav Taneja assumed the responsibilities of both positions. Taneja’s appointment came into effect immediately before the release of the Q3 2023 report. The upcoming earnings call will mark Taneja’s first event as CFO.
Tesla’s Q3 2023 production and delivery report showcases the company’s continual growth and highlights its commitment to setting ambitious targets. The temporary decline in volumes due to planned factory upgrades should not overshadow Tesla’s long-term trajectory. As the company navigates through ongoing challenges and implements strategic changes, stakeholders anticipate the announcement of future innovations and milestones in the electric vehicle industry.
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