Tesla deliveries fall sharply in the first quarter, especially for its highest-margin cars

Electric-car maker Tesla Inc. delivered sharply fewer vehicles to customers in the first three months of the year, raising questions about the strength of demand for its product lines as it ramps up assembly of the newest sedan.

The Palo Alto company said Wednesday that it delivered about 63,000 vehicles to customers during the first quarter, a 31% drop from the previous quarter. The most dramatic drop-off was for Tesla’s highest-profit-margin vehicles, its Model S sedan and Model X SUV, which saw combined deliveries fall 56% from the previous quarter.

Tesla delivered 50,900 newer Model 3 cars and 12,100 older-model S and X vehicles in the first quarter. In the previous quarter, the company delivered 90,700 total vehicles to customers, including 63,150 Model 3 cars and 27,550 Model S and X vehicles.

Read entire article at Los Angeles Times