(MENAFN) Shares of Tesla continued to lose further on the over-seven-percent drop shortly after the opening bell, as CEO Elon Musk declared staff cuts by seven percent and indicated declining earnings for the fourth quarter of 2018 earlier on Friday, in an effort to lower costs for its Model 3 sedan.
Tesla will reduce its full-time employee headcount by nearly seven percent and maintain only the most critical temps and contractors.
Must said: "Tesla will need to make these cuts while increasing the Model 3 production rate and making many manufacturing engineering improvements in the coming months."
The company is facing "an extremely difficult challenge" to make its cars, batteries and solar products cost-competitive with fossil fuels.
€ƒ
MENAFN1901201900450000ID1097995581
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.