Home Today's Paper Most Popular Video Gallery Photo Gallery
Subscription Blog Signin Register
Logo
Friday, December 6, 2019 05:07:50 PM
Follow Us On: Facebook Twitter Twitter Twitter Twitter
BREAKING NEWS:

Tesla delivers record number of electric cars in quarter

photo by

By
04th-Jul-2019       
Share
  • Twitter
  • Google+
  • Save
  • E-mail
  • Print
Comments
Share your thought
Post a comment »
Read all () »

Reuters, San Francisco :
Tesla Inc set a record for quarterly vehicle deliveries in a triumphant response to months of questions about demand for its luxury electric cars, sending shares up 7% after hours on Tuesday.
Tesla did not comment on profit - which is still elusive - but the robust deliveries could help jumpstart investor sentiment on Tesla, which has been challenged in recent months. Before Tuesday's after-hours spike, Tesla shares were down about a third from the beginning of the year.
Brushing aside concerns about demand that have dogged the company all year, Tesla said orders during the second quarter exceeded deliveries, despite buyers getting a smaller tax credit.
A $7,500 US federal tax credit was cut in half at the end of last year, fell to $1,875 on Monday and expires at the end of the year.
"We believe we are well positioned to continue growing total production and deliveries in Q3," the company said in a statement.
Tesla delivered 77,550 Model 3s in the quarter, the company's latest sedan and linchpin of the company's growth strategy. That compared with analysts' average estimate of 73,144, according to IBES data from Refinitiv.
Deliveries of all models rose 51% from the first quarter to 95,200 vehicles, including 17,650 Model S and X. Analysts on average were expecting total deliveries of 89,084.
Chief executive officer Elon Musk has repeatedly said Tesla could deliver a record number of cars in the second quarter, beating the 90,700 it sent to customers in the final quarter of last year. Tuesday's numbers helped take the sting off a difficult first quarter, in which deliveries plunged and the company lost $702 million.
That fraught quarter - hurt by logistics issues at Tesla's international ports and a drop-off in US orders after the tax credit was halved - spurred worries that Tesla may have tapped a limited market for electric cars at premium prices.
Despite the positive second-quarter delivery numbers, Wedbush analyst Dan Ives cautioned that "the Street remains skeptical."
Demand and profitability will remain the two main drivers to buoy Tesla shares in coming quarters, Ives told Reuters, signaling that Tesla's challenges are far from over.
Garrett Nelson of CFRA Research noted that second-quarter deliveries were likely artificially boosted by customers pulling forward their vehicle purchases before the July 1 tax credit cut, warning that could result in a "significant retracement" in deliveries in the third quarter.
Tesla did not repeat its prior forecast that it would post a second-quarter loss but return to profit in the third quarter.
A big challenge for Tesla has been how to deliver its vehicles efficiently and swiftly to customers around the world. An improved system for logistics helped in the second quarter, Tesla said, without providing more detail.
In prior quarters, Tesla has diverted employees from all parts of the company to help with deliveries in an all-hands-on-deck effort to meet delivery goals. That has proved to be an expensive and inefficient way to meet targets, which reduces potential profit margins on each vehicle.
The delivery numbers included 10,600 vehicles that had been in transit at the end of the first quarter.
The company has pledged to deliver 360,000 to 400,000 vehicles in 2019, a goal many analysts predict will be difficult to meet.
Overall, total production rose 13% to 87,048 vehicles compared with the first quarter. The company churned out 72,531 Model 3s in the second quarter, up from a total of 62,950 Model 3s in the preceding quarter.
Tesla said that going forward, it would no longer disclose how many vehicles were in transit at the end of each quarter due to production changes that made the number less relevant. At the end of the second quarter, over 7,400 vehicles were in transit.

Tariff
Add Rate

News Archive

Inside The New Nation

Cricket »

England's Headingley hero Bob Willis dies aged 70


Bob Willis, who famously bowled England to a dramatic Test win against Australia in 1981, has died aged 70, his family announced on Wednesday.Willis played in 90 Tests, taking 325 wickets with his aggressive pace bowling and also captained England for a spell before retiring in 1984 and taking up ...

International »

Moon calls for Chinese role in denuclearizing North Korea


AP, Seoul :South Korean President Moon Jae-in said Thursday the global diplomatic push to defuse the nuclear standoff with North Korea is at a "critical crossroads" and called for China to continue serving a "positive role" in denuclearizing the Korean Peninsula and stabilizing peace.Moon made the comments during a meeting ...

Cricket »

Tanvir elated to help Bangladesh make winning start in SA Games cricket


Left-arm spinner Tanvir Islam hogged the limelight with an intriguing show of spin bowling on a wicket that offered bounce and turn aplenty at the Kiritpur, Nepal as Bangladesh demolished Maldives by 109 runs in their opening game of South Asian Games male cricket discipline. The match is predicted to ...

International »

Iran in still ready for talks if US lifts sanctions


AFP, Tehran :Iran is willing to return to the negotiating table if the United States first drops sanctions, President Hassan Rouhani said Wednesday, after a fuel price hike sparked deadly violence ahead of elections.European countries have been pushing for talks with Iran to salvage a 2015 nuclear deal that has ...

City »

BNP Secretary General Mirza Fakhrul Islam Alamgir speaking at a prèss conference on price spiral of the essential commodities at the party's central office in the city's Naya Palton on Tuesday.


Cricket »

Winning start for Bangladesh in SA Games women's T20


BSS, Kathmandu :The Bangladesh women's cricket team got off to a flying start in the ongoing SA Games women's T20 cricket crushing Sri Lanka women's cricket team by seven wickets on Tuesday at Pokhara Stadium in Pokhara.Invited to bat first by Bangladesh, Sri Lanka rode on opener Umesha Thimashini, who ...

Editorial »

Catch big fishes involved in fake certificate business at DMCH


THE New Nation on Tuesday ran a report that selling of fake medical certificates has become a profitable business for a gang of employees working at Dhaka Medical College and Hospital. It was revealed after members of Rapid Action Battalion arrested one of the gang members from the DMCH on ...

International »

Squabbles overshadow NATO 70th anniv summit


AFP, Watford :NATO leaders gather Tuesday for a summit to mark the alliance's 70th anniversary but with leaders feuding and name-calling over money and strategy, the mood is far from festive.The 29 allies will descend on London ready to lock horns over spending and how to deal with Russia in ...

Business & Economy »

A. T. Haque Ltd launches new production


Business Desk :A.T. Haque Limited, one of the largest and oldest biscuit manufacturers in the country, has launched "Mr. Cookie Lite" biscuit, a new production of the company, at the Tofazzal Hossain Manik Miah Hall of National Press Club n the city.Executive Director of A. T. Haque Limited Quazi Touhiduzzaman ...

Entertainment »

Tiffany Haddish's condition to host Oscars 2020 is a hoot


American actor and comedian 'Tiffany Haddish' is making her bid for hosting the 2020 Oscars. During an appearance at a show last Saturday, the star revealed what the Academy Awards would look like if she were to host.  The 39-year-old actor said, "I would have it hot.It would be so ...

Entertainment »

Apu to give wedding news?


Entertainment Report :Apu Biswas, the popular actress of Dhallywood, is currently busy with films as well as her personal life. She was also seen on stage shows and corporate events. She once married Shakib Khan but later they got divorced. After that, Apu's marriage or affair news circulated many times ...

Editorial »

Crisis of unemployment among educated young ones is explosive but there is nobody to care


THE unemployment rate among the educated youth is quite high as much as 33.2 per cent in the country. Against the shrinking job market due to automation, skill-gap, and foreigners' dominance in managerial positions, the government's focus on employment generation is not visible. A recent research of Bangladesh Institute of ...

Football »

Iheanacho the hero as Leicester close gap on Liverpool


Kelechi Iheanacho was the unlikely hero as Leicester came from behind to beat Everton 2-1 and close the gap on Liverpool at the top of the Premier League to eight points.The Nigerian had not played a single minute of Premier League football this season prior to being summoned from the ...

International »

Climate crisis has reached ‘point of no return’: UN chief says


AFP, Madrid :The devastating impacts of global warming that threaten humanity are a pushback from Nature under assault, UN chief Antonio Guterres warned Sunday ahead of a key climate conference."For many decades the human species has been at war with the planet, and now the planet is fighting back," he ...

International »

Thousands flee as Typhoon Kammuri churns towards Philippines


AFP, Manila :The Philippines was braced for powerful Typhoon Kammuri as the storm churned closer, forcing evacuations and threatening plans for the Southeast Asian Games events near the capital Manila.Kammuri is expected to make landfall late Monday or early Tuesday in the nation's east with heavy rains and wind gusts ...

 
Items that you save may be read at any time on your computer, iPad, iPhone or Android devices.
 
Are you new to our website? Do you have already an account at our website?
Create An Account Log in here
Email this news to a friend or like someone
Email:
Write a comment to this news