A slower sales growth compared with Wall Street expectations was reported by Tesla for the third quarter.

It delivered 435,000 electric cars in the period, according to the world’s largest electric car manufacturer. Compared to the 466,000 deliveries in the second quarter, that’s a decline of 7%. According to FactSet Research, analysts expected sales to come in at 461,000, just short of second quarter numbers.

To hit its full-year sales goal, Tesla needs to achieve about a 9% increase in sales in the final three months of the year compared to the just completed quarter to reach its target of 1.8 million vehicles.

“These numbers were nothing to write home about, and the Street will be left wanting more,” wrote tech analyst Dan Ives in a note about Tesla’s sales report early Monday.

It had also warned its factory output could be affected by summer shutdowns for various upgrades, and it appears that was the case, as production fell even more than sales, decreasing 10% from the second quarter.

However, the company delivered more vehicles than it produced for the first time since the first three months of 2022. Bearish analysts have pointed to Tesla’s sales falling short of production in the previous five quarters as a sign of weakening demand.

Despite lowering prices, Tesla remains one of the most profitable automakers in the world and continues to grow aggressively. The price cuts are partly driven by macroeconomic factors, such as rising interest rates, according to Elon Musk, CEO of Tesla.

Tesla shares opened down 2% on the sales news, but rose little in morning trading.