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Tesla posts quarterly profit, second in history as public company

October 27, 2016

Californian EV-manufacturer Tesla Motors has posted its first quarterly profit in over three years, with Elon Musk saying his company will post another profit in the next quarter.

tesla-model-s-badge

Tesla reported a record number of deliveries and the cumulative profit of $139 million worth of clean car credits, as well as a 70 per cent year-on-year increase in sales over 2015’s figures. The announcement marks Tesla’s second-ever posted quarterly profit since Tesla Motors went public in 2010, which was in the first quarter of 2013.

This time last year, Tesla posted a loss of US$229.9 million which is in stark contrast to the recent announcement of $21.9-million in net profit. Total revenue has more than doubled to $2.3 billion.

Elon Musk, Tesla’s CEO, said that Tesla “does not require any capital raise for the Model 3 at all.” However, Elon Musk did say that additional capital could be raised to “account for uncertainty” and to “de-risk” the business.

In the short-term, Elon Musk says the recent addition of the P100D and Model X will increase Tesla’s delivery numbers until the Model 3 arrives. When it does, Tesla will begin working its way through the back log of 375,000 pre-orders. Deliveries are slated to commence in the latter part of next year.

Alexi is a contributing news journalist and junior road tester at PerformanceDrive. He has a passion and appreciation for the engineering in cars, as well as new technologies that lessen the impact on the environment. His dream cars are an M3 to drive to work, and a LaFerrari for the weekend.