Jan 26 (Reuters) – Tesla Inc’s aggressive price cuts have boosted demand for electric vehicles, the automaker’s Chief Executive Officer Elon Musk said on Wednesday. The announcement allayed fears that buyers would lose interest due to a weakening economy.
The company reaffirmed its long-term target of 50% cumulative annual sales growth.
The company’s revenue for the three months ended December 31 was $24.32 billion, according to IBES data from Refinitiv, while analysts on average expected $24.16 billion.
Tesla predicts a 37% year-over-year increase in vehicle production to 1.8 million units.
Net income for the quarter was $3.69 billion, or $1.07 per share, compared to $2.32 billion, or 68 cents per share, a year earlier.
Adjusted earnings per share were $1.19, beating Wall Street analysts’ average estimate of $1.13.
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(With Hyeonju Jin in San Francisco and Akash Sriram in Bangalore, Joe White and Ben Kleiman in Detroit, and Kevin Krolicki in Singapore)