Despite these challenges, Tesla refreshed its lineup with updated versions of the Model 3 and Model Y. The company also faced legal issues, including a lawsuit over racial harassment at its Fremont factory and a case questioning its liability for fatal crashes involving its autonomous driving tech. Despite a lackluster quarter, Tesla still commands about 60% of the EV market.
Key takeaways:
- Tesla's margins continue to decrease due to price cuts, with the company reporting earnings of $1.9 billion in net income on $23.4 billion in revenue during Q3 2023, a significant drop from $3.3 billion the previous year.
- The company missed its target date for a Cybertruck delivery event, now planning for its first deliveries to occur on November 30th.
- Tesla's operating margins fell for the third quarter in a row, indicating that the company's price cutting strategy is impacting its bottom line.
- Despite facing legal issues and a decrease in profit margins, Tesla still commands roughly 60 percent of the EV market, and is continuing to cut prices to take advantage of high demand.