Amidst persistent pressure in its auto sector, Tesla revealed second-quarter results that fell short of forecasts, causing shares of the electric carmaker to drop more than 8% in premarket trade in the United States. At 04:37 ET, the shares reduced losses to trade lower by 7.3%.
The June quarter saw a 7% year-over-year reduction in automotive revenue to $19.9 billion for Elon Musk’s electric vehicle company, along with a decline in adjusted profitability margin.
With sales dropping and competition increasing, the corporation has been compelled to cut prices everywhere and provide discounts and incentives, particularly in China, one of its important markets.
Source (CNBC)
