Tesla might be the biggest name in the world of electric cars, but even they are not immune to the recent economic challenges. The company released its third-quarter earnings results on Wednesday, revealing that its revenue missed out on Wall Street estimates.
The Wall Street analysts expected $22.09 billion in revenue for Q3, but Tesla came at $21.45 billion. The company did deliver on adjusted earnings per share, coming at $1.05 versus the $1.01 expected, but that didn’t seem to calm the investors.
After the Q3 results were made public, Tesla stock dipped to 211.28 per share in after-hours trading. This is around a 5% drop from the close price of $222.04 on Wednesday. Overall, the automaker’s shares are 45% down year to date.
The company explained its less-than-impressive results with a strong dollar, which is cutting into their profit on the international market. Also, the company says it has encountered production and delivery obstacles that hampered its business.
“While the availability of components posed less of an issue in the quarter, vehicle transportation capacity during peak delivery periods became increasingly challenging,” said the company.
Still, Tesla expects to have a strong finish of the year and a successful 2023. The company announced plans to start delivering its Semi Truck in December while starting with the production of Cybertruck in the near future. Also, it is sticking with a plan to increase its deliveries by 50% on a yearly average.