Sales fell by 5 percent, with production cut by more.
Enlarge / For some time now, Tesla has produced more cars than it has sold. This past quarter, that changed. (credit: Toru Hanai/Bloomberg via Getty Images)
Tesla published its quarterly production and delivery numbers yesterday afternoon, and anyone hoping that the last three months have marked a return to growth will be disappointed. For Q2 2024, the automaker built 418,831 electric vehicles, a 14.4 percent decrease on Q2 2023. The drop in sales wasn't quite as bad—in Q2 2024 Tesla sold 443,956 EVs, a 4.8 percent decline, year on year.
After several boom years, even the hype-generating powers of Tesla CEO Elon Musk weren't able to stave off the realities of a small and stagnant product line and a brutal price war, particularly in China. The first quarter of 2024 saw Tesla's deliveries fall by 8.5 percent, the first time this number hadn't gone up since 2020.
Later in April, we saw the effect on Tesla's balance sheet. Profits fell by more than half, and profit margins slumped to just 5.5 percent, barely half the industry average.
