Tesla deliveries down 31% in first quarter

Ann Santiago
April 5, 2019

Back in July previous year, Elon Musk confirmed all our suspicions that he was indeed a Juggalo.

At first, Musk did not say much about the song when he announced its debut on Twitter.

Musk has already warned investors that the company will lose money during this year's first quarter amid cost-cutting needed to lower the price of its Model 3, its first electric vehicle designed for the mass market.

Tesla now expects quarterly profits to be "negatively impacted".

Musk's lawyers countered that the earlier tweet merely restated a forecast he had given on January 30, when he said Model 3 production could total 350,000 to 500,000 vehicles.

CNN pointed to the US's halving of a $7,500 tax credit cut on Tesla vehicles, while the push of cars to Cina and Europe has been a fresh logistical challenge for the firm.

Tesla shares dropped below the $270 mark this week, Wall Street is now focusing closely on the $250 figure which Tesla shares have not closed below since March 2017.

Tech mogul Elon Musk might have a career as a rapper after he released a song titled RIP Harambe on SoundCloud.

Musk, whose attorneys were set to appear in federal court Thursday as the Securities and Exchange Commission tries to persuade a judge to hold him in contempt over unauthorized tweets, alluded to the delivery problems in the company's last quarterly earnings call, Tesla noted. In its statement to investors, Tesla said it planned to deliver between 360,000 and 400,000 vehicles this year.

Tesla had predicted that it would make at least 500,000 Model 3s, its cheapest auto, and deliver between 300,000 and 400,000 by the end of the year at the end of January.

He was also involved in another controversy in the September of a year ago when a lawsuit was filed by Securities Exchange Commission (SEC) against Musk, suing him for "false and misleading statements" which was in reference to his tweet where he jokingly said "Am considering taking Tesla private at $420". Tesla also has a considerable amount of cash tied up in inventory and the approximately 10,000 vehicles in transit to customers.

The issue over Musk's tweets stems from a settlement reached past year after Musk tweeted that he had secured the funding to take Tesla private at $420 a share - a substantial premium over the company's stock price at the time - when he had not.

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