Tesla Q1 results Net profit declines 55 percent to 1.13 billion dollar and revenue dips 9 percent

Tesla Q1 Results: Billionaire businessman Elon Musk's company Tesla has announced its quarterly results and there is not much good news about the company's performance. Tesla's quarterly results have shown a big decline in its profits and this is the first time since 2020 that the company has recorded a decline in revenue. Tesla's results for the first quarter of 2024 have shown that the interest in Tesla cars in the EV market has decreased.

Big decline of 55 percent in Tesla's profits

In the first quarter ending in March, there has been a 55 percent decline in Tesla's net profit and it has come to $ 1.13 billion. In the same quarter last year, this profit stood at $2.51 billion. Tesla's profits have been affected due to changes in sales in the electrical vehicle (EV) market.

Why did Tesla shares rise yesterday?

However, a surge in Tesla's shares was seen in the American markets and the reason behind this was that the company's owner Elon Musk gave some more positive signals regarding his affordable car plans, after which the company's shares were sold heavily.

Tesla's revenue also declined

The revenue of EV manufacturer Tesla has also seen a decline in the first quarter. During January-March, the company's revenue has fallen by 9 percent to $ 21.3 billion, which was $ 23.33 billion in the same quarter last year. However, market experts had estimated that it would be around $22.15 billion.

Pressure on sales in EV market – Tesla

The company has said that pressure on sales is being seen in the EV market and this is also affecting Tesla's sales. Its average revenue per vehicle has fallen by 5 percent to $44,926, due to which price cuts have also been considered the reason.

Tesla shares surge on new news

As soon as the news came from Elon Musk that Tesla will now also work on affordable EVs and will bring new low-cost cars to the market, a jump of more than 13 percent was seen in the company's shares. It was said that production of such vehicles can start in the second half of the year 2025.

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