- Hollis Johnson/Business Insider
- Tesla on Tuesday said it manufactured 2,020 Model 3 vehicles in the last week of its first quarter after targeting 2,500.
- The company said that total Model 3 production was 9,766 for the quarter and that it delivered 8,180 cars.
- Tesla pledged to meet a 5,000-a-week Model 3 target by the end of its second quarter and said it would not need to raise more capital despite a high cash burn to launch the Model 3.
- Deliveries of the Model S sedan and the Model X sedan remained on target to match or exceed 2017’s totals.
Tesla reported first-quarter vehicle deliveries on Tuesday and fell short of a highly anticipated target for the mass-market Model 3 sedan.
For the quarter, the carmaker said it produced 9,766 of the all-electric vehicle, which has a $35,000 base price but for now is being built in a $44,000 version. The Model 3 has been beset with production delays since its launch last July.
Tesla said it delivered 8,180 Model 3s in the same three-month period.
The final week of March saw a surge in Model 3 assembly.
“In the past seven days, Tesla produced 2,020 Model 3 vehicles,” Tesla said in a filing with the Securities and Exchange Commission. “In the next seven days, we expect to produce 2,000 Model S and X vehicles and 2,000 Model 3 vehicles.”
The company had earlier said it would be manufacturing 2,500 Model 3 vehicles weekly by the end of its first quarter.
In the same statement, Tesla reaffirmed a production target of 5,000 Model 3 cars a week by the end of the second quarter.
Tesla also surprisingly said it would not “require an equity or debt raise this year, apart from standard credit lines,” but added the standard disclaimers about forward-looking statements and risks previously disclosed to the SEC.
Tesla’s rate of cash burn had led to widespread speculation that a capital raise was coming in 2018.
As for Tesla’s other cars, the automaker said it produced 29,980 vehicles in the first quarter, 11,730 of which were the Model S and 10,070 of which were the Model X.
Tesla also addressed concerns about initial Model 3 quality, saying customer satisfaction was very high. It also commented on canceled Model 3 preorders, saying orders remained “stable” in the quarter and cancellations came from a lack of available features, such as all-wheel drive, and production delays.
Tesla shares moved higher in Tuesday trading, at one point up over 3% to $261. The stock had declined over 20% in the past month.
- Markets Insider