Tesla on Thursday announced its fourth-quarter and full-year car production and deliveries, revealing that the company's annual EV deliveries declined for the first time.
CNBC report Elon Musk's Tesla on Thursday reported its fourth quarter and full-year 2024 car production and delivery results, revealing the company is experiencing its first-ever annual decline in deliveries. The report comes after Tesla's stock price rose significantly at the end of the year, rising 63% in 2024.
According to the report, Tesla delivered a total of 495,570 vehicles in the fourth quarter of 2024, and produced 459,445 vehicles. For the full year, the company delivered 1,789,226 vehicles and produced 1,773,443 vehicles. These numbers represent a decrease from the 1.81 million deliveries reported in 2023 and the 484,507 deliveries in the fourth quarter of the same year.
Analysts had expected Tesla to report deliveries of 504,770 vehicles in the fourth quarter, including 474,000 Model 3 and Model Y EVs, based on a consensus of estimates compiled by Street Account. Tesla itself had provided investors with a company-compiled delivery consensus of 506,763 units, derived from a survey of 26 analysts.
The fourth quarter report follows a tough first quarter for Tesla, with its stock plummeting 29%, its worst period since 2022. CEO Elon Musk had warned investors that growth would slow in 2024 compared to 38% growth in 2023. , the company's performance improved in the second half of the year.
One of the most important developments for Tesla in the second half of 2024 was CEO Elon Musk's involvement in President-elect Donald Trump's election campaign. Musk, the world's richest man, has donated about $277 million to support Trump and other Republican candidates and spent weeks campaigning in key battleground states. Musk was chosen to co-lead the Trump administration's advisory group aimed at cutting federal spending, personnel and regulations.
Tesla, which once had a near monopoly on the electric vehicle market, is now facing fierce competition from a variety of automakers, including General Motors, Ford, Rivian, China's BYD, South Korea's Hyundai, and European giants BMW and Volkswagen. facing. Nevertheless, Tesla maintains several advantages over its competitors, especially in terms of its extensive charging network.
However, the company's operational challenges in the fourth quarter were primarily due to its fundamental aspects as an automaker. Some analysts believe Tesla made a mistake by not introducing a more affordable EV in 2024, with the company's newest car, the Cybertruck, starting at around $80,000. They are piling up on used car lots.
Tesla's sales in Europe fell sharply in the fourth quarter, with registrations dropping to 18,786 in November from about 31,810 in the same period last year. The company's China operations have also faced pressure, with Model Y growth not keeping pace with growth in China's overall EV market.
In North America, Tesla remained dominant, but offered various incentives and discounts to its most popular EVs to boost sales. The company also sent Cybertruck assembly line workers home for several days during the fourth quarter, likely to avoid saturating the market with Cybertrucks.
Looking ahead to 2025, Musk said in an October earnings call that he expects Tesla to offer low-cost self-driving cars, leading to 20% to 30% growth compared to 2024.
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Lucas Nolan is a reporter for Breitbart News covering free speech and online censorship issues.
