Tesla Motors Inc (NASDAQ:TSLA) released new performance numbers on Sunday showing that car sales more than doubled from last year. The electric car company said it delivered about 24,500 vehicles in the latest quarter, while in the same period last year, it delivered just 11,603.
TSLA ramps up sales
“This was an increase of just over 70% from the last quarter’s deliveries of 14,402,” the EV firm said in a statement, adding that its third quarter count should be viewed as “slightly conservative.” “We expect Q4 deliveries and production to be at or slightly above Q3, despite Q4 being a shorter quarter and the challenge of delivering vehicles in winter weather over holidays,” the EV firm said.
Tesla Motors Inc (NASDAQ:TSLA) reported that at the end of the quarter, there were 5,500 vehicles in transit, and they will not be counted as deliveries until the fourth quarter. The company produced 25,185 vehicles in the quarter and also reaffirmed its guidance for the second half of 2016 at 50,000 vehicles.
Tesla Motors Inc (NASDAQ:TSLA) created a new two-year lease program in August that started at a low price of $593 per month with a hope to boost sales before the end of the quarter. How much the program helped is not known, but the company did increase both sales and production in the quarter.
Model X sales boosted total sales
Nearly all of Tesla Motors Inc (NASDAQ:TSLA)’s deliveries at this time last year were of its flagship Model S vehicle. The Model S is a big ticket item for the company even now as it sold 15,800 Model S cars in Q3 2016. However, significant sales came from the Model X SUV as well, which was launched in September 2015. In its latest quarter, the EV firm delivered 8,700 Model X units.
Both vehicles are still pricey propositions for people interested in buying electric cars. The starting price of the Model S is $66,000, while that of the Model X is $83,000. CEO Elon Musk is betting that he can win big next year with Tesla’s first mass-market car — the Model 3 — starting at about $35,000.
However, Tesla Motors Inc (NASDAQ:TSLA)’s next car might face tough competition as GM is set to put its new electric car, the Chevrolet Bolt, on sale later this year for $37,495. Volkswagen also intends to compete in the electric car market, with its I.D. reportedly costing less than $30,000, but it is expected to go on sale after 2020, notes CNN.
In pre-market trading today, Tesla shares were in the green. Year to date, the stock is down more than 14%, while in the last year, it is down almost 18%.