Tesla Global News #10

Tesla has revealed that it will release its financial results for the first quarter of 2024 after markets close on Tuesday, April 23, 2024. The announcement of the earnings call date coincided with the release of Tesla's first-quarter vehicle production and delivery report.

Following the market closure on April 23, 2024, Tesla will publish its Q1 2024 Update Letter on its Investor Relations (IR) website. The earnings call, anticipated to include Tesla's leadership, is scheduled for 4:30 p.m. CT (5:30 p.m. ET) on the same day. During this call, Tesla's performance and future outlook will be discussed.

Tesla faced challenges in the first quarter of 2024, particularly concerning vehicle deliveries. Despite producing over 433,000 vehicles, the company delivered approximately 387,000 vehicles, falling notably short of both Street expectations and the optimism of TSLA enthusiasts. Consequently, analysts and retail investors are likely to pay close attention to Tesla's Q1 2024 earnings call to gain insights into the reasons behind the lower-than-expected vehicle deliveries.

The company attributed its subpar performance in Q1 2024 to several factors. Tesla cited the early phase of production ramp-up for the updated Model 3 at its Fremont Factory in California, as well as disruptions caused by the Red Sea conflict and an arson attack at Gigafactory Berlin, as key contributors to the underwhelming delivery figures. Notably, the impact of these events primarily affected vehicle production.

Gary Black, a seasoned Wall Street figure from The Future Fund, LLC, estimated that Tesla's finished goods inventory at the end of Q1 2024 was equivalent to 29 days' worth of production, marking the highest level since the first quarter of 2019.

Tesla has recently introduced the upgraded Model 3 alongside additional variants of the Model Y in the South Korean market. This strategic move aims to solidify Tesla's position as a leading importer of vehicles in South Korea.

The revamped Tesla Model 3 and expanded options for the Model Y, including the Long Range Dual Motor All Wheel Drive (AWD) and Performance models, are now open for customer orders. This diversified lineup is anticipated to enhance Tesla's competitive edge in South Korea's automotive market.

Available on Tesla Korea's order page, the updated Model 3 starts at ₩51,990,000 ($38,500) for the Rear Wheel Drive (RWD) variant. The Model 3 Long Range Dual Motor AWD is priced at ₩59,990,000 ($44,500) before customization options. For the Model Y, the Long Range Dual Motor AWD starts at ₩63,990,000 ($47,400), while the Performance variant begins at ₩71,990,000 ($53,400). Delivery estimates for the upgraded Model 3 range from 1 to 3 months, while the Model Y variants are listed with delivery times of 3 to 6 months.

In the first quarter, Tesla's presence in South Korea was primarily marked by the sale of the base Rear Wheel Drive (RWD) version of the Model Y, with the upgraded Model 3 not yet available in the country. Despite this, Tesla emerged as the second-largest vehicle importer in South Korea by March 2024, surpassing Mercedes-Benz for the first time. This achievement is particularly notable given challenges faced by both Tesla and Mercedes-Benz, such as delivery delays attributed to geopolitical tensions in the Middle East.

Tesla's impressive performance in South Korea, where it registered 6,025 vehicles, placed it in close competition with the top vehicle importer, BMW, which recorded 6,549 registrations during the same period. With the introduction of the upgraded Model 3 and additional Model Y variants, Tesla is poised to further assert its dominance in South Korea's imported vehicle market.

LG Energy Solution (LGES) has outlined its plans to commence hiring for the Arizona battery manufacturing complex by the conclusion of 2024.

Governor Katie Hobbs expressed enthusiasm, highlighting the substantial impact this investment will have not only on Arizona but also nationwide, emphasizing the importance of such endeavors in advancing clean energy objectives. She underscored the significance of preparing Arizonans for the emerging job opportunities in this sector.

At a stakeholder meeting held on April 3 at Combs High School in San Tan Valley, LG Energy Solution provided an update on its ambitious $5.5 billion battery manufacturing complex. The company affirmed that the project remains on schedule for completion within two years. LGES will establish two manufacturing facilities in Arizona: the LG Energy Solution Arizona, which will focus on producing standalone 46-series cylindrical batteries in North America, and an energy storage system (ESS) plant.

In the interim, LGES intends to initiate mass production of 46-series battery cells in South Korea by the latter half of the year. This move is aimed at sustaining momentum in 46-series production while enhancing the manufacturing capabilities of the Ochang Plant.

Simultaneously, LGES plans to commence production of lithium iron phosphate (LFP) pouch-type batteries for energy storage systems (ESS) in Arizona.

In September 2023, LG Energy Solution introduced its residential ESS product, Prime+, to the US market. Prime+ offers versatility with an integrated inverter, allowing for the utilization of two 10H or 16H battery modules, providing a total capacity of either 19.2 or 32 kWh. By expanding its presence in the United States, LGES seeks to significantly increase global revenues derived from ESS products.

✅ Thank you for reading this weeks Tesla Global Newsletter, if you enjoyed this weeks piece please share with your friends using the referral link below 👋

⚡️Get Connected: Why not follow us on Social Media?