Supply chain snarls at the company’s newer facilities in Texas and Germany also hurt production, with analysts warning that these issues may crimp Tesla’s profits.“Tesla’s luster has dimmed yet again with this latest drop in deliveries coming in lower than expectations,” Hargreaves Lansdown analyst Susannah Streeter said, adding that this was a setback to the carmaker’s ambitions to stay at the front of the EV pack.J.
Tesla CEO Elon Musk recently described both factories as “gigantic money furnaces” that are losing billions of dollars. Streeter cautioned that the cost-of-living squeeze around the world due to red-hot inflation could have a knock-on effect on demand down the line.The Austin and Berlin plants are likely to remain a drag on results until they attain higher utilization rates, but expect volumes to rebound strongly in the second half of the year, Garrett Nelson, senior equity analyst at CFRA Research, said.
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