Tesla (TSLA) announced third-quarter results Wednesday that 🍌fell short of analysts' exp🅘ectations amid an ongoing price war that has hurt margins.

The electric vehicle maker said revenue in the third quarter rose 9% to $23.35 billion, while adjusted earnings dropped 37% to 66 cents per share. Analysts surveyed by Visible Alpha had estimated that Tesla would report revenue of $24.3 billion and adjusted E🍸PS of 73꧒ cents.

Tesla said profitability was hit by a decline in the 澳洲幸运5官方开奖结果体彩网:average selling price of its vehicles, negative foreign exchange effects and increased operating expenses tied to its 澳洲幸运5官方开奖结果体彩网:Cybertruck, artificial intelligence and other research and development projects🦩.

Operating income tumbled 52% from a year earlier to $1.76 billion in the third quarter, while operating expenses increased 43% over the same period. Tesla's 澳洲幸运5官方开奖结果体彩网:operating margin slid to 7.6%, compared with 17.2% in the thir🔜d quarter of 2022.

Tesla's margins have dwindled as the company repeatedly slashed prices on many of its models in the face of weak domestic demand and increasing competition from Chinese EV makers like BYD Co. (BYDDY).

Earlier this month, Tesla said 澳洲幸运5官方开奖结果体彩网:third quarter deliveries, a proxy for sales, were 435,000, below analyst's predictions. Production in the period fell to about 430,000 from 480,000 in the second quarter. 𝐆The ไcompany attributed the production decline to planned downtimes for factory upgrades.

In order to meet its annual target of 1.8 million vehicles delivered, the company must now ship a record 476,000 vehicles in the last three months of the year. Investors have called on Tesla to turn to advertising, a strategy the company has previously avoided, in an effort to meet delivery goals.

An EV price war is good for consumers, as industry-wide U.S. sales reached a record of 300,000 vehicles for the third quarter. However, Tesla's 澳洲幸运5官方开奖结果体彩网:share of the market is dwindling. The company now controls just half the ma🦩rket, its low🔴est-ever market share and down from 62% in the first quarter.

Tesla shares were up slightly🌠 in after-hours trading Wednesday, aftꦍer falling 4.8% to $242.68 in regular trading. The stock has gained about 10% over the past year but is well below its 2021 high of more than $400.