Tesla reported a 5% drop in vehicle deliveries in the second quarter, delivering approximately 444,000 vehicles and producing 411,000 vehicles. The company also deployed 9.4 GWh of energy storage products, marking the highest quarterly deployment. Tesla's financial results for the second quarter of 2024 will be released on July 23, 2024, followed by a live question and answer webcast. The company emphasized that vehicle deliveries and storage deployments are not indicative of quarterly financial results, which depend on various factors. Despite the year-over-year sales decline, Tesla's second-quarter sales numbers showed signs of revival, with a 14% increase from the prior quarter. The company has been navigating a demand slowdown and increased competition, leading to price cuts and incentives. Tesla's poor performance was attributed to supply shortages and competition. The company's sales fell in the first half of the year, prompting the need for a refreshed product lineup to counter rivals. Despite the back-to-back quarterly sales decline, Tesla's sales were slightly stronger than analysts' predictions and surpassed its Chinese rival BYD. Following the report, Tesla's stock jumped more than 10%. Analysts noted signs of improving sentiment in Tesla shares and the broader EV sentiment. Tesla has faced stiff competition from Chinese counterparts and embarked on cost-cutting measures, including a reduction in global staff. CEO Elon Musk acknowledged the tough market conditions and the industry's transitionary period, indicating that near-term demand and sales will continue to struggle.
