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Tesla Beats Estimates, Says It Will Produce 500,000 Vehicles Annually By 2018

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Tesla Beats Estimates, Says It Will Produce 500,000 Vehicles Annually By 2018

Shares of Tesla Motors Inc (NASDAQ: TSLA) were trading up more than 5 percent in Wednesday’s after-hours session, following the announcement of the company's Q1 results. The electric vehicles maker reported a net loss of ($0.57) per share, beating the Street’s consensus by $0.01, on revenue of $1.6 billion, up 45.5 percent year-over-year.

An important note was the advancement of the target date to hit production of 500,000 cars annually by 2018 (it originally forecast for 2020). This was boosted by strong demand for the Model #.

Management still anticipates it will deliver 80,000 to 90,0000 units in 2016; however, the second half of the year is expected 17,000 deliveries.

Related Link: Tesla VP Of Production And VP Of Manufacturing To Leave Company

Among the most encouraging Q1 figures were:

  • 45 percent year-over-year rise in Model S orders
  • Automotive margin of 20 percent
  • 160 percent surge in services and other revenue, which reached $121 million for the three-month period

The company said it was re-evaluating its level of capital expenditures, and expects it to be roughly 50 percent higher than they had previously expected for 2016; original guidance was for $1.5 billion in capex.

Management noted the need of extra capital to open the Gigafactory ahead of expectations.

Shares traded recently at $233.60, up 4.9 percent in the after-hours session.

Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.

Posted-In: Model 3 Tesla Model 3Earnings News Guidance After-Hours Center Movers Tech Best of Benzinga

 

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