Tesla Inc. is accelerating the launch of less-expensive cars in a bid to revive sagging demand following another disappointing quarter.
It’ll also help sustain the company as it works to bring some of Musk’s lofty ideas into reality, including a fleet of autonomous robotaxis, a “The EV adoption rate globally is under pressure, and a lot of other auto manufacturers are pulling back on EVs and pursuing plug-in hybrids instead,” he said. “This is not the right strategy.”
“I think we have said all that we will on that front,” Musk said when asked for more details about the cheaper models. Tesla’s automotive gross margin — a key measure of profitability — was 16.4% in the first quarter, smaller than the 17.6% Wall Street expected.Tesla’s adjusted earnings per share came to 45 cents in the first three months of the year, compared with Wall Street’s expectation of 52 cents a share. Revenue fell 9% to $21.3 billion, in line with its first year-over-year drop in deliveries since 2020.