Tesla Motors Posts Surprise Profit, Beats Model S Sales Goal for Second Quarter
August 7, 2013 8:02 PM
comment(s) - last by
Tesla shares jumped up to $153 in after-hours trading
Tesla Motors saw a successful second quarter with more Model S sales than expected and even surprised Wall Street with an adjusted profit.
For Q2 2013, Tesla reported a loss of $30.5 million (26 cents a share), which was much narrower than the $105.6 million ($1 a share) loss in the year-ago quarter. The automaker had an adjusted profit of 22 cents, which beat expectations of a non-GAAP loss of 17 cents. In the year-ago quarter, Tesla reported a profit loss of 89 cents.
Revenue jumped to $405.1 million compared to just $26.7 million in the year-ago quarter. Analysts expected a revenue of $383 million for Q2 2013.
Helping to boost Q2 figures was better-than-expected Model S sales. For the quarter, Tesla reported 5,150 Model S electric sedan deliveries -- which beat the automaker's expectation of 4,500 deliveries.
Also notable is that Tesla's production rate increased 25 percent to almost 500 vehicles per week (up from 400 previously). Tesla sold 10,500 Model S sedans in the first six months of 2013 and plans to reach a rate of 40,000 annually by late 2014.
For the third quarter, Tesla expects to deliver slightly over 5,000 Model S' and a total of 21,000 worldwide for the whole year.
Tesla shares jumped up to $153 in after-hours trading, which is a 14 percent boost from its Wednesday close at $134.
, Tesla reported a net income of $11.2 million (a huge increase from an $89.9 million loss in the year-ago quarter). Excluding certain items, Tesla's profit came in at 12 cents a share, which was a boost from a loss of 76 cents a share in Q1 2012. Analysts expected a profit of about 4 cents a share. Revenue also saw a huge year-over-year boost, totaling $562 million (up from $30.2 million in the year-ago quarter).
Tesla has become quite a hero in the auto industry. In May, Tesla repaid its $465 million loan from the U.S. Department of Energy (DOE)
nine years earlier
than expected from the original 2022 due date.
This was mainly due to its decision to issue more stock the week before. Tesla said it wanted to sell about $830 million in shares, and use $450 million in convertible senior notes (which are due in 2018) along with sales of 2.7 million shares (valued at about $229 million at the time) to pay back its federal loan. This is an especially crucial detail in Tesla's history, considering other plug-in hybrid electric automaker Fisker Automotive (which also received a DOE loan) has
More recently, Tesla has had a few other victories, such as a win in the
battle against auto dealers
when a North Carolina House committee denied a bill that would block Tesla from being able to sell its vehicles directly to the public.
Tesla has also started showing off new tech that could transform the electric auto industry. In June, Tesla unveiled a convenient alternative to waiting for a Model S to charge --
. The idea behind battery swapping is to easily open the car chassis to pull the battery out and replace it with a fully charged one. This saves the driver from having to wait for their battery to charge before traveling.
After that, Tesla Chief Technology Officer JB Straubel said that the automaker is working on a charging system that would get drivers out of the Supercharger stations and back on the road with a full charge
in just 5 minutes
The Wall Street Journal
This article is over a month old, voting and posting comments is disabled
RE: OK, so what's next?
8/8/2013 8:33:41 AM
Tesla is hardly alone on the tax credit front. Fine, cut it. Tesla may make a loss but so will every other company involved in EVs. The rest will be a blitz on reducing costs, increasing prices to maximize profit from possible demand, and we'll see who wins.
What's important is that either way, Tesla has no unfair advantage at this point (it's literally the underdog without a massive ICE business channeling it R&D and survival loans) and it's doing extremely well.
RE: OK, so what's next?
8/8/2013 7:05:12 PM
Tesla has no unfair advantage at this point
But they do. Offering them the kinds of subsidies, ridiculously lax loan terms, and other perks while not other automakers/businesses is by definition "unfair".
This is why Crony Capitalism is unconstitutional. Even though it's uber common. The Government is bestowing favors on one business over others.
RE: OK, so what's next?
8/8/2013 9:59:01 PM
He said "at this point". There is no gov't loan anymore, and EV credits/subsidies are available to any automaker who wants to produce the product that meets the requirements. That's the opposite of "unfair".
"I mean, if you wanna break down someone's door, why don't you start with AT&T, for God sakes? They make your amazing phone unusable as a phone!" -- Jon Stewart on Apple and the iPhone
Tesla Building Tech to Fully Charge EVs in Just 5 Minutes
July 17, 2013, 1:44 PM
Tesla Motors Successfully Fights Off Auto Dealership Assault in North Carolina
June 27, 2013, 2:36 PM
Tesla to Show Off EV Battery Swap Tech This Week
June 18, 2013, 10:34 AM
The Fall of Fisker Automotive: A $35,000 Loss on Each Karma, Lavish Spending and Misinformation
June 17, 2013, 5:03 PM
Tesla Repays $465 Million DOE Loan 9 Years Early
May 22, 2013, 10:20 PM
California Gives Tesla Motors $34.7 Million Tax Break to Boost Vehicle Production
December 19, 2013, 11:00 AM
Energy Department: Gas-Powered Vehicles to Dominate Market through 2040
December 19, 2013, 8:30 AM
NHTSA Expected to Announce Vehicle-to-Vehicle, Advanced Braking Plans by End of Year
December 18, 2013, 11:11 AM
Porsche Macan V6 Diesel Bound for the U.S.
December 17, 2013, 10:36 AM
GM Could Release New EV, Updated Chevrolet Volt in 2016
December 16, 2013, 11:30 AM
Ford Says 70% of its Cars Will Have Start-Stop Tech by 2017
December 16, 2013, 10:57 AM
Most Popular Articles
China's Lunar Rover Enters Orbit, Prepares for Historic Sat. Landing
December 13, 2013, 5:00 PM
Ten Senators Sponsor Bill to Scrap Corn Ethanol Market Manipulation
December 13, 2013, 1:52 PM
China's Moon Rover Lands Safe and Sound, Starts Snapping Pics
December 16, 2013, 1:22 PM
Metro-Enabled Firefox Browser Expected to Land After Two Years of Work
December 12, 2013, 5:21 PM
Top Microsoft Graphics Genius Defects to Google
December 17, 2013, 4:27 PM
Latest Blog Posts
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
Global Cyber Espionage Concerns Reveal Growing Cyber Armies
Nov 29, 2013, 11:04 AM
Is The Period Becoming an Expression of Anger?
Nov 26, 2013, 2:02 PM
NSA and Congress -- You Will Never Kill the Constitution, It's an Idea
Nov 10, 2013, 2:00 PM
AT&T Explores $100B+ USD Deal to Acquire Vodafone's European Operations
Nov 4, 2013, 7:34 AM
More Blog Posts
Copyright 2013 DailyTech LLC. -
Terms, Conditions & Privacy Information