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

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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.