Tesla said on Monday that it sold a record-breaking 1.3 million cars in 2018. However, this figure fell short of CEO Elon Musk’s promise to increase the company’s sales by 50% almost every year.
The number of vehicles delivered in 2022 broke the previous record of 936,000 in 2021, but it fell short of the 1.4 million required to meet the company’s goal of 50% growth. Sales increased 40% year over year, while manufacturing increased 47% to 1.37 million.
The shortfall occurred in spite of a significant year-end marketing campaign that offered exceptional USD 7,500 discounts in the US on the company’s best-selling Models Y and 3.
The production of Tesla Inc.’s Shanghai factory was impacted by the new coronavirus’s increasing prevalence in China. Tesla Inc. is situated in Austin, Texas.
Tesla delivered more than 405,000 vehicles globally in the fourth quarter thanks to the additional US push. But it fell short of Wall Street’s expectations. FactSet, a data company, surveyed analysts who predicted 1.33 million deliveries for the entire year and 427,000 deliveries from October through December.
“Thank you to all of our customers, employees, suppliers, shareholders and supporters who helped us achieve a great 2022 in light of significant COVID and supply chain related challenges throughout the year,” the electric vehicle and solar panel company said Monday.
While Tesla didn’t release any new models in 2018, it is now up against established manufacturers and up-and-coming startups like Lucid and Rivian, which are constantly releasing new electric vehicles. But Musk has vowed that the long-awaited Cybertruck electric pickup will begin production this year. The business has recently begun shipping its electric semis.
Discounts were given over the final two weeks of the year, which prompted speculation about whether or not demand for Tesla products was waning as a result of the Federal Reserve raising interest rates to fight inflation.
That, along with Musk’s actions following his USD 44 billion acquisition of Twitter, contributed to the more than 65 percent decline in Tesla stock last year, knocking Musk off of the top rank for the world’s richest person, according to Forbes.
The company’s shares dropped by its worst amount ever for the year, more than tripling the 19.4% decrease in the S&P 500.
The company’s long-term fundamentals are solid, Musk wrote on Twitter on December 30. However,’short-term market lunacy’ is unpredictable.
Investors are concerned that Musk’s attention has been diverted from the auto industry by Twitter. Musk stated last month that he intends to continue leading Twitter until he can locate a successor.