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Tesla will lay off more than 10% of its workforce, tech publication Electrek reported on Monday, citing an internal memo.

The world’s largest auto-maker by market value had 140,473 employees globally as of December, according to its latest annual report.

Tesla did not immediately respond to a request for comment.

Tesla, which is set to report its quarterly earnings on April 23, reported a decline in vehicle deliveries in the first quarter, its first in nearly four years and also below market expectations.

Tesla to build battery plant in Shanghai

Meanwhile, the company has scrapped plans to produce an inexpensive car, abandoning one of Musk’s longstanding goals to make affordable EVs for the masses.

Tesla shares were down 0.8% in premarket trading on Monday.

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