Tesla Q1 production up 12.6%, sales up 6.3%

Tesla's first-quarter production increased by 12.6% year-over-year to 408,386 vehicles, while sales grew by 6.3% to 358,023 units. This disparity resulted in approximately 50,000 more vehicles in inventory compared to the previous quarter, indicating an overproduction issue. The company's energy storage business also saw a 15% decline in deployment. Both vehicle deliveries and energy storage deployment fell short of analyst expectations, highlighting challenges in matching production with market demand and a slowdown in a key growth area.