Tesla records 480,126 vehicle deliveries in Q2, surpassing forecasts

Tesla announced that it delivered 480,126 vehicles in the second quarter, a 25% increase from a year earlier and well above the 402,776 units analysts had projected, according to Visible Alpha data. Production for the period stood at 451,758 cars, meaning deliveries exceeded production by roughly 28,000 units as the company worked through inventory built earlier in the year.

The surge in deliveries was largely attributed to a rebound in European markets, where higher fuel prices, government incentives and corporate fleet electrification boosted demand. > "I think the huge growth in Europe is the key driver for Tesla right now. U.S. sales still appear to be down, albeit less than the broader U.S. EV decline, while China is seeing small growth," said Seth Goldstein, senior equity analyst at Morningstar. He added that a full-year decline now seemed unlikely.

In the United States, the largest market for Tesla, sales were reported to have fallen by at least 10% in the quarter, a trend analysts linked to the removal of federal EV tax credits last year. > "We're cautiously optimistic for some growth this year," said Sam Fiorani, vice president at AutoForecast Solutions, noting that pricing and new lower-cost Model 3 and Model Y variants have helped offset some consumer concerns.

Chinese sales showed modest improvement, supported by the refreshed Model Y, though competition from domestic manufacturers remains intense. Tesla plans to release its next quarterly earnings on July 22 after markets close.

Shares of the company closed more than 7% lower on Thursday, after having risen earlier in the week, as investors priced in expectations for continued growth and the company’s broader ambitions in autonomous driving and artificial intelligence.