United States based electric car maker Tesla Inc reported record deliveries for the January to March quarter which comfortably beat estimates of analysts at Wall Street driven by a very a strong demand for its less expensive models which helped the company to overcome the hit of a shortage of parts and chips globally, the company said.
"We are encouraged by the strong reception of the Model Y in China and are quickly progressing to full production capacity," Tesla said in a statement. "The new Model S and Model X have also been exceptionally well received ... and we are in the early stages of ramping production," it added.
In its key market of China, the company began production of the Model Y late last year at its Shanghai factory. It already makes its Model 3 sedans for the Chinese market at the factory. Demand and sales for its cars in the Chinese market jumped in the month of February compared to the previous month even though the usual trend is a drop in demand and thus sales in the Chinese market in February because of China's Lunar New Year holidays.
During the first quarter, 184,800 vehicles were delivered by the electric car maker throughout the world which was well over estimates of delivery of 177,822 vehicles, according to Refinitiv data. The first quarter deliveries were also higher than the company’s previous record of delivering 180,570 which it had achieved in the preceding quarter.
Production at its California plant had to be suspended by Tesla in February for a period of two days because of "parts shortages."
"We believe China and Europe were particularly robust this quarter," said Dan Ives, an analyst at Wedbush. For the complete year of 2021, he expects Tesla will be able to sell more than 850,000 vehicles globally – partly driven by the new policy of the Biden administration in the US to boost EV sales as well as because of growing demand for electric cars through the world.
The company also reported a 13 per cent quarter on quarter rise in deliveries in the first quarter for Model 3/Ys at 182,780 vehicles. In contrast however there was a drop in the deliveries of the pricier S/Xs during the quarter from 18,920 to 2,020 as the company is set to launch model changes.
There would be weaker margins for Tesla in the first quarter because of a drop in sales for the more profitable cars of the company, said Gerber Kawasaki CEO Ross Gerber, while also forecasting "blowout" results for the second quarter.
There was a rebounds in their sales in the US market as reported by other automakers such as General Motors Co as companies have started to rebound from the Covid-19 pandemic induced slump in 2020. However a global shortage of chips used in cars has kept the volumes of the companies muted as most were forced to cut production.
Tesla is currently the most valuable auto company of the world even though the number of cars its sells annually is but only a fraction of what major car companies such as Toyota Motor Corp, Volkswagen AG and GM sell.
(Source:www.investing.com)
"We are encouraged by the strong reception of the Model Y in China and are quickly progressing to full production capacity," Tesla said in a statement. "The new Model S and Model X have also been exceptionally well received ... and we are in the early stages of ramping production," it added.
In its key market of China, the company began production of the Model Y late last year at its Shanghai factory. It already makes its Model 3 sedans for the Chinese market at the factory. Demand and sales for its cars in the Chinese market jumped in the month of February compared to the previous month even though the usual trend is a drop in demand and thus sales in the Chinese market in February because of China's Lunar New Year holidays.
During the first quarter, 184,800 vehicles were delivered by the electric car maker throughout the world which was well over estimates of delivery of 177,822 vehicles, according to Refinitiv data. The first quarter deliveries were also higher than the company’s previous record of delivering 180,570 which it had achieved in the preceding quarter.
Production at its California plant had to be suspended by Tesla in February for a period of two days because of "parts shortages."
"We believe China and Europe were particularly robust this quarter," said Dan Ives, an analyst at Wedbush. For the complete year of 2021, he expects Tesla will be able to sell more than 850,000 vehicles globally – partly driven by the new policy of the Biden administration in the US to boost EV sales as well as because of growing demand for electric cars through the world.
The company also reported a 13 per cent quarter on quarter rise in deliveries in the first quarter for Model 3/Ys at 182,780 vehicles. In contrast however there was a drop in the deliveries of the pricier S/Xs during the quarter from 18,920 to 2,020 as the company is set to launch model changes.
There would be weaker margins for Tesla in the first quarter because of a drop in sales for the more profitable cars of the company, said Gerber Kawasaki CEO Ross Gerber, while also forecasting "blowout" results for the second quarter.
There was a rebounds in their sales in the US market as reported by other automakers such as General Motors Co as companies have started to rebound from the Covid-19 pandemic induced slump in 2020. However a global shortage of chips used in cars has kept the volumes of the companies muted as most were forced to cut production.
Tesla is currently the most valuable auto company of the world even though the number of cars its sells annually is but only a fraction of what major car companies such as Toyota Motor Corp, Volkswagen AG and GM sell.
(Source:www.investing.com)
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