Tesla shares jump as Q3 profit beats expectations
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The news: Tesla shares rocketed on the Nasdaq after Elon Musk's car maker reported higher-than-expected profit for the third quarter.
The numbers: Tesla shares jumped more than 9% in after hours trading on the Nasdaq, after closing nearly 2% lower.
The company recorded a profit margin of 19.8% in the September quarter, up from 18% in the previous quarter and beating average estimates of 17.3%, according LSEG data.
Adjusted profit was 72 US cents per share in the third quarter, beating an average estimate of 58 US cents.
Quarterly revenue of USD25.18 billion ($37.95 billion) topped the total of USD23.35 billion in the previous corresponding period, but fell slightly short of consensus forecasts of USD25.37 billion.
Tesla also said that cost of goods sold, or raw material costs, per vehicle fell to its lowest level ever at around USD35,100.
A 6% growth in Q3 deliveries compared to the previous corresponding period marked the company's first quarter of growth after a decline between January and June this year.
The context: Tesla said it is currently between "two major growth waves", the first beginning with the global expansion of its Model 3/Y platform, and the next being "initiated by advances in autonomy and introduction of new products, including those built on our next generation vehicle platform".
The company said it expects to achieve "slight growth" in vehicle deliveries in 2024, "despite ongoing macroeconomic conditions". Energy storage deployments are expected to more than double year over year in 2024, it said.
Earlier this month, Tesla unveiled its autonomous driving robotaxi named 'Cybercab', a 20-seater self-driving van dubbed the 'Robovan', and an autonomous humanoid assistant called the 'Optimus Robot'.
The sources: Tesla earnings release, Reuters
