Tesla's Hidden Powerhouse: EV Giant Tries To Shift Investor Focus To Energy Business Amid Auto Slowdown
Portfolio Pulse from Anan Ashraf
Tesla Inc. (NASDAQ:TSLA) is shifting investor focus to its energy storage business amid a slowdown in EV demand. The company reported a record 4,053 MWh of energy storage products deployed in the quarter, a 4.2% year-on-year increase, alongside a decline in vehicle deliveries by 8.5% to 386,810 vehicles. The decline in vehicle deliveries was attributed to various factors including the production ramp of its refreshed Model 3, an arson attack on its Berlin gigafactory, and supply chain disruptions. Despite a 7.8% quarterly decrease in energy segment revenue, the annual revenue grew by 54% to $6,035 million. Tesla aims for the energy storage business growth to surpass the automotive sector in 2024.
April 03, 2024 | 10:53 am
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Tesla Inc. is highlighting its energy storage segment's growth as EV demand slows, with a record deployment and a significant annual revenue increase in the energy segment.
The focus on Tesla's energy storage business, alongside the record deployment and revenue growth, could positively impact investor sentiment and stock price in the short term. The reported decline in vehicle deliveries is a concern, but the strategic pivot and growth in the energy segment may offset negative perceptions, especially with the company's optimistic outlook for surpassing automotive growth in 2024.
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