How did Polestar Car C-1's revenue and expenses shift in Q2 2024 compared to previous quarters?

Polestar's Q2 2024 financial performance showed notable challenges compared to previous quarters, primarily due to ongoing demand struggles and organizational issues. Here's a detailed analysis:

1. **Revenue Decline**: Polestar's revenue for Q2 2024 was notably lower than previous quarters, primarily due to a 3% year-over-year drop in sales, amounting to $2.38 billion. This decline was attributed to higher discounts and lower sales of carbon credits. The revenue shortfall was a continuation of the trend seen in Q1 2023, where revenue fell by 20% year-over-year to $1.736 billion.
2. **Gross Profit Margin Impact**: The gross profit margin for Q2 2024 was under pressure, with a reported 250 basis points decrease to 19.0%. This decline was influenced by increased promotional activities and higher warranty expenses. The reduced gross profit margin was a significant concern, as it directly affected the company's profitability.
3. **Operating Expenses**: Polestar's operating expenses for Q2 2024 were significantly reduced, decreasing from $325 million in the previous year to $313 million. This decrease was primarily due to lower selling and marketing expenses. Despite the reduction in expenses, the company's net income for the quarter was only $3.8 million, representing a 97% year-over-year drop.
4. **Market Share Gains**: Despite the revenue and profitability challenges, Polestar noted gains in its off-road vehicles (ORV), motorcycles, and marine segments, indicating some positive shifts in its market share.

In conclusion, Polestar's Q2 2024 financial performance reflected ongoing struggles with revenue growth and profitability, influenced by competitive pricing pressures and organizational issues. While there were some positive aspects, such as gains in market share in certain segments, the overall financial results indicated a challenging period for the company.