Tesla Inc (NASDAQ:TSLA) CEO Elon Musk had a sobering message to investors hoping to hear that deliveries of the highly anticipated Cybertruck would begin soon.
"We dug our own grave with Cybertruck," Musk said on Tesla’s earnings call, adding that the company could face "enormous challenges" in ramping up production.
Deliveries are expected to begin on November 30, Musk said.
Tesla said it has the capacity to produce more than 125,000 Cybertrucks a year, with the potential to reach 250,000 in 2025.
More than one million customers have reserved orders for the truck, Musk added.
In 2019, Tesla said it expected to sell the Cybertruck for less than $40,000, but electric vehicle prices have increased in past few years on rising material costs.
For instance, the Rivian Automotive Inc (NASDAQ:RIVN) R1T electric truck retails for $73,000, while the Ford Motor Company (NYSE:F) F-150 Lightning starts at about $50,000.
For the third quarter, Tesla posted earnings of $0.66 per share on revenue of $23.35 billion, compared to expectations of $0.74 per share on revenue of $24.16 billion. Tesla reported adjusted earnings of $1.05 per share on revenue of $21.45 billion in the year-ago quarter.
Shares of the company fell 8.6% Thursday afternoon to $221.93.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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