Published On: Tue, Apr 4th, 2017

Tesla breaks records with 25,000 vehicles delivered in first quarter

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Tesla breaks recordsTesla Inc., the United States luxury electric car maker announced its first-quarter vehicle deliveries. Tesla breaks records and jumped 69 per cent from the last year to a quarterly record of 25,000 vehicles, bouncing back from delays in the previous quarter.

The company confirmed that out of the total vehicles delivered, about 13,450 were Model S sedan and around 11,550 were Model X sports utility vehicle.

Tesla has said it expects to deliver 47,000 to 50,000 Model S and Model X vehicles combined in the first half of 2017.

In the fourth quarter, deliveries had fallen 9.4pc due to short-term production hurdles from the transition to a new autopilot hardware.

Tesla had said production challenges, which started at the end of October and lasted through early December, shifted vehicle production towards the end of the fourth quarter, resulting in delayed deliveries.

Ultimately, about 2,750 vehicles were missed being counted as deliveries in the fourth quarter either due to last-minute delays in transport or because the customer was unable to physically receive the delivery.

In addition to the first quarter deliveries, about 4,650 vehicles were in transit  at the end of the quarter and will be counted as deliveries in the second quarter, Tesla said in a statement on Sunday.

Production in the first quarter also hit a quarterly record at 25,418 vehicles.

Tesla Chief Executive Elon Musk has repeatedly taken risks since going public in 2010 but investors became apprehensive after he said in February the electric car company could get “close to the edge” as it burns cash ahead of its crucial Model 3 launch.

China’s Tencent Holdings Ltd bought a 5pc stake in Tesla last week for $1.78 billion, giving the company with a deep-pocketed ally as it prepares to launch its mass-market Model 3.

The midsize, high-volume Model 3 sedan is due to go on sale later this year in the United States.

Shares of Tesla closed up slightly at $278.30 on Friday on the Nasdaq and have soared more than 30 percent so far this year.

About the Author

- Zonaira joined IBEX from the first issue as a writer and later joined the editorial team. She completed her Masters’ degree in Mass Communication from Kinnaird College majoring in Film Making and Advertising. Lifestyle stories, social issues, budding entrepreneurs and fresh startups resonate and inspire her writing. She is keen on putting in perspective the latest business developments and happenings and highlighting prominent professionals belonging to all walks of business. She has worked as a content writer, editor and reporter for a number of publications. Always in transit, an avid reader and traveler, her other interests include theater, languages, religions and teaching young children creative writing.