Tesla just a few minutes ago posted its earnings report for the quarter gone by and investors will have a lot to cheer about. While analysts on Wall St. were expecting Tesla to post a loss, Tesla during its September quarter actually posted a profit, and an impressive profit at that. When the dust settled, Tesla posted a quarterly profit of $22 million and EPS of $0.71. Revenue for the quarter checked in at $2.3 billion.
Illustrating how impressive Tesla’s performance was this past quarter, Wall St. was anticipating Tesla to post a loss amid $1.9 billion in revenue for the quarter.
As far as deliveries are concerned, Tesla during the quarter boasted that it achieved record vehicle production, deliveries and revenue. More importantly, Tesla reaffirmed via a shareholder letter that the Model 3 is still on track for a late 2017 release.
“At the same time, we continue to lay the foundation for future growth,” the shareholder letter reads in part. “Gigafactory construction and Model 3 development both remain on plan to support volume Model 3 production and deliveries in the second half of 2017. Meanwhile, our efforts to transform the solar industry will be demonstrated at our joint product introduction with SolarCity on October 28th.
“Last week, we announced that all newly produced Tesla vehicles have the hardware needed for full self-driving capability,” the letter continues. “This same capability will also be built into every Model 3.”
As to manufacturing progress on Tesla’s highly anticipated $35,000 EV, the company notes that production line layouts are completed that body welding and final assembly lines will soon be installed. Addressing any concerns about suppliers not being able to handle what is already immense demand for the Model 3, Tesla notes that they have “established a world class team of suppliers for Model 3 production equipment and components and critical long lead time equipment and components have been sourced.”
Additionally, Tesla says that testing on the Model 3’s “chassis, the high voltage drive system, and low voltage subsystems such as vehicle controllers, HVAC, infotainment and lighting” has already begun.
Not surprisingly, shares of Tesla are nearly up 5% in after hours trading.
Tesla’s shareholder letter can be viewed in its entirety over here.