TESLA'S PRICE CUTS EAT INTO CYBERTRUCK MAKER'S PROFITS AS NET INCOME PLUNGES 44% IN THE 3RD QUARTER

Tesla’s net income slumped in the third quarter versus a year earlier, as price reductions helped drive strong sales growth but also ate into the automaker’s profit margins

The Austin, Texas, maker of electric vehicles, solar panels and batteries this week reported net income of $1.85 billion for the July-September quarter, a 44% decline from a year earlier. Earnings per share fell to 53 cents from 95 cents.

Excluding stock-based compensation, Tesla’s adjusted net income fell to $2.32 billion, or 66 cents per share. On that basis, Tesla’s earnings fell short of analysts’ consensus estimate of 73 cents per share, according to FactSet.

Total revenue rose 9% to $23.35 billion. Analysts had forecast $24.19 billion.

Earlier this month, the company reported that it sold 435,059 vehicles during the July-September period, an increase of 27% from the same stretch last year. Even so, Tesla’s deliveries came in below the 461,000 vehicles analysts had predicted the company would sell during the quarter, according to FactSet Research.