Tesla shares soared 11% on the stock market after announcing “more affordable” cars by 2025.
The company’s shares have recovered slightly, but are down 34% for the year. The group announced yesterday that its revenues had fallen by 9%.
American electric vehicle manufacturer Tesla plans to launch “more affordable” cars later this year or early 2025, according to the company led by Elon Musk in its reporting for the first quarter of 2024, when it reduced its revenue by 9% to $21,301 million (€19,931.1 million).
“These new cars, including more affordable models, will use aspects next generation platformas well as certain aspects of our current platforms and can be produced on the same production lines as our current vehicle range,” the company said.
The American firm has thus updated its “future vehicle lineup to accelerate the launch of new models ahead of production in the second half of 2025.” “So We hope it will be more like early 2025.if not by the end of this year,” Tesla CEO Elon Musk explained in a call with analysts.
Specifically, Tesla explained that this update “may result in smaller cost savings than expected,” although it allows the company to “Smartly increase your vehicle’s capacity in a more efficient way in terms of ‘capital expenditure’ in times of uncertainty.”
“This will help us fully utilize our current planned maximum capacity of approximately three million vehicles, allowing production growth by more than 50% compared to 2023 before investing in new production lines,” Tesla explained.
When asked about “available” models, meaning the well-known Model 2 As for Tesla, Musk simply remarked: “I think we’ve said everything we’re going to say on that front.”
The information provided by the company was sufficient to Its shares soared more than 11% on Wall Street.. Despite this progress, they are down 32% this year due to poor business progress.
Tesla cut its net profit by 55% between January and March 2024.to $1,129 million (€1,056.5 million), with adjusted gross operating result (Ebitda) of $3,384 million (€3,166.3 million), down 21% from the first quarter of 2023.
The company blamed the decline in volumes on upgrades to its Model 3 production line in Fremont, California, as well as factory closures resulting from supply diversions caused by “The Red Sea Conflict and the Attack on the Berlin Gigafactory”.