Tesla reaches profitability for the first time in its 10-year history

By on May 9, 2013, 2:00 PM
tesla, electric car, profit, model s, elon musk

Tesla Motors reported a quarterly profit for the first time in its 10-year history during the first quarter of 2013. This was done by exceeding their own targets for deliveries, expanding gross margin and improving execution throughout the company according to a press release on the matter. Or, in other words, they sold a lot of electric cars.

Total revenues for the quarter were up 83 percent from the previous quarter to $562 million while gross margin doubled from last quarter to 17 percent. The company delivered 4,900 electric vehicles during the first three months of this year. For reference, Tesla was able to constantly produce around 400 or more Model S vehicles per week during the quarter.

Looking forward, Tesla expects US demand to exceed 15,000 vehicles per year while global demand will likely surpass 30,000 units annually. The company is planning to inject another $200 million or so into building up their manufacturing capabilities for the Model S and expanding the service and retail network.

CEO Elon Musk said the company should be able to pull off the planned expansions without having to take out further loans from the government or asking investors for additional funds. At present there are 41 service locations and galleries around the world that showcase Tesla vehicles. Musk would like to add another 15 more galleries before the end of 2013 which would bring the total number of showrooms close to 50.




User Comments: 10

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Denxnis Denxnis said:

Glad to see the company is making a profit, goes to show some people are finally embracing the fact that we cannot rely on oil for the rest of our lives.

JC713 JC713 said:

Great stuff. I really hope they introduce more cars into the lineup. But seriously, 10 years without turning a profit is tough! Way to stick with it.

9Nails, TechSpot Paladin, said:

Just watched "Revenge of the Electric Car", and I'm happy to see Tesla reach this most impressive milestone! I also couldn't believe that it's been 10 years of Tesla this far.

TomSEA TomSEA, TechSpot Chancellor, said:

I'm sure I've mentioned it before, but one of my buddies has a Tesla S and it is without a doubt the most impressive car I've ridden in. Glad to see that innovation is alive and well in the auto industry and this company is now starting to make a buck for that innovation.

St1ckM4n St1ckM4n said:

I'm sure I've mentioned it before, but one of my buddies has a Tesla S and it is without a doubt the most impressive car I've ridden in. Glad to see that innovation is alive and well in the auto industry and this company is now starting to make a buck for that innovation.

What innovation? I'm being serious. Tesla takes a nice shell and shoves 5+year old poor technology batteries in them. Where is the innovation?

cliffordcooley cliffordcooley, TechSpot Paladin, said:

What innovation? I'm being serious. Tesla takes a nice shell and shoves 5+year old poor technology batteries in them. Where is the innovation?
Yeah, if it hadn't been for gasoline engines booming, this tech could have taken off in the 40's. I can't imagine where we would be if electric cars would have evolved with the PC world.

Guest said:

....and the power required to charge these cars exceeds the carbon footprint of burning fuel.

Go figure.

1 person liked this | H3llion H3llion, TechSpot Paladin, said:

^ depends how the power is attained

Even if that statement is true, if no development is done on this, we are heading for a collapse. These technologies NEED to be developed, even at the cost you have stated (which could be completely false, I don't know).

Keep it up Tesla, innovate!

QWales said:

This is what is going to change everything, incl the carbon footprint issue mentioned above:

"Battery Breakthrough Offers 30 Times More Power, Charges 1,000 Times Faster:"

[link]

http://www.bbc.co.uk/news/technology-22191650

QWales said:

This is what is going to change everything, incl the carbon footprint issue mentioned above:

"Battery Breakthrough Offers 30 Times More Power, Charges 1,000 Times Faster:"

[link]

http://www.bbc.co.uk/news/technology-22191650

Actualy I retract the later part of that statement if it uses more carbon to generate the electricity needed to power a vehicle a specific distance than is used by a traditional oil based machine.

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