Tesla to achieve record deliveries in second quarter, says Musk in leaked email

We have a good chance of exceeding the record 90,700 deliveries of the fourth quarter last year, said chief executive Elon Musk in a leaked email to staff.

Tesla Source: Bloomberg

American automotive and energy firm Tesla is on track to hit a record number of car deliveries in the second quarter, according to a leaked internal email from the firm’s chief executive Elon Musk to staff.

The record deliveries is set to beat the 90,700 car deliveries in the final quarter of last year, of which 63,000 cars were Model 3s. Breaking the record would be a rebound for Tesla as its total deliveries for the first quarter of this year fell to 63,000.

In the email to staff verified by Reuters, Mr Musk told his employees that in order to achieve the record, the company would have to sustain an output of 1,000 Model 3’s per day.

“As of yesterday,…we had over 50,000 net new orders for this quarter. Based on current trends, we have a good chance of exceeding the record 90,700 deliveries of the fourth quarter last year and making this the highest deliveries/sales quarter in Tesla history!” said Mr Musk in his email to staff.

Mr Musk’s email counters concerns that demand for its cars were falling due to the drop in sales for the first quarter.

Tesla is expected to announce its second quarterly delivery figures in early July.

Shares rise 1.43% after the leaked email and price cuts on Model S and X

Tesla’s shares have fallen to the lowest since late 2016, as the firm has been struggling with shipping its Model 3 cars to Europe and posted worse-than-expected earnings in the first quarter.

On Thursday, Tesla shares gained 1.43% or US$2.76, to close at US$195.49 after a six-day slide, the additional news that the firm will be lowering the prices of its Model S and X also supported the price gain.

The firm has been making cost-cutting measures to stop the financial bleeding it suffered in the first quarter. The firm recently raised US$2.7 billion to manage its financial situation.

In another leaked email to the media last week, Mr Musk told employees the firm has to make “hardcore changes” in its spending practices such as “hands on” cost-cutting efforts and a tighter grip on employee expenditures to ensure that it doesn’t spend through all its cash.


This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get spreads from just 0.1% on major global shares
  • Trade CFDs straight into order books with direct market access

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
Bid
Offer
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Bid
Offer
Updated
Change
Bid
Offer
Updated
Change
-
-
-
-
-
-
-
-
-
-
-
-
China 300
-
-
-
-

Prices above are subject to our website terms and agreements. All share prices are delayed by at least 20 minutes. Prices are indicative only.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.