Tesla Model 3 to arrive in the United Kingdom in RHD mid 2019

Analysts thought Tesla was in trouble earlier this year because the company had been burning nearly a billion dollars a quarter in late 2017 and early 2018.

Orders for the company's Model 3 in Europe and China would be taken before the end of this year, Tesla said.

Electric-car maker Tesla Inc on Wednesday reported a "historic" quarterly profit driven by demand for its mass market Model 3 as the company looks beyond its U.S. home base to Europe and China.

The latest information may be part of a larger inquiry that investigators began earlier this year, although neither the Justice Department nor the FBI have confirmed that they are investigating Tesla, which is common among federal agencies.

Tesla had disclosed on September 18 that it received a "voluntary request" for documents from the Justice Department.

Hargreaves Lansdown analyst Nicholas Hyett said: "Production numbers earlier this month meant we already knew Tesla could churn out the cars, the question was whether it could it do it profitably, and even more importantly, could Musk wean the company off a constant flow of cash from investors?"

The comments suggest Tesla may be ahead of schedule, but Musk has cautioned that production will still have to wait until 2020.


According to earlier reports, Tesla is building the Model Y at its own dedicated plant. While the profit and improvement was impressive, it comes after a rich Model 3 mix that's unlikely to be replicated on top of opex stinginess that may need to be relaxed to support current volumes and future product growth.

Tesla has battled widespread scrutiny, following Musk's August 7 tweet that he was planning to take Tesla private and had "funding secured". "So we're driving to have Model 3 production for the China market or the Greater China market active certainly next year".

Prior to Q3 2018, Tesla has only had two profitable quarters since going public in 2010, and Musk's affirmations of profitability by the end of 2018 had been met with deep scrutiny. The aim is to shift up to a million cars a year outside the US. "Profitability is improving at a rate where the company is on track to generate enough cash to meet its $1.7 billion debt obligations". On Wednesday, she to Musk and Tesla's board of directors, imploring them not to take the company private.

Larry Ellison, the founder, CTO, and executive chairman of Oracle, defended Tesla CEO Elon Musk during an analyst meeting on Thursday and said Tesla was his second-biggest investment, Bloomberg reported.

The usually freewheeling Musk was unusually restrained through most of the call with analysts, although he occasional broke into some braggadocio. Calling the quarter "historic", Tesla for the first time in history managed to turn a profit.

"They have seven years to be able to produce 2.5 [million] to 3 million cars a year".


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