Tesla Reports Unexpected Profit Boosted by Delivery Increases

Tesla Inc. has posted earnings that exceeded Wall Street's expectations for the third quarter. This positive news reflects a growth in demand for the company’s electric vehicles.

On Wednesday, Tesla revealed that its adjusted earnings reached 72 cents per share for the quarter, surpassing the average predictions made by analysts. Additionally, the company announced its intention to commence production of more affordable vehicle models in the first half of 2025. Tesla projects a growth of 50% in production volumes for next year compared to 2023.

The news prompted a considerable rise in Tesla’s stock, which climbed 7.5% to $229.50 during post-market trading as of 4:20 p.m. in New York. Earlier on Wednesday, the stock had declined 14% so far this year in regular trading.

Tesla is optimistic about the upcoming quarter as well, anticipating a strong performance in deliveries following a solid third quarter. The company expressed its expectation of slightly increased vehicle deliveries in 2024, despite the ongoing challenging macroeconomic conditions.

"Despite ongoing macroeconomic conditions, we expect to achieve slight growth in vehicle deliveries in 2024," Tesla stated in its announcement.

Tesla, profit, delivery