Companies

Tesla meets lower end of 2019 target for vehicle deliveries

Reuters January 3 | Updated on January 03, 2020 Published on January 03, 2020

Tesla’s Model 3   -  REUTERS

Tesla Inc beat Wall Street estimates for vehicle deliveries in its fourth quarter on Friday and met the low end of its full-year delivery goal, boosted by higher demand for its mass-produced Model 3 sedans.

Tesla said it delivered 112,000 vehicles in the fourth quarter, including 92,550 Model 3 sedans and 19,450 Model S/X SUVs, which was above expectations of 104,960 vehicles, according to IBES data from Refinitiv.

In total, the Silicon Valley carmaker delivered approximately 367,500 vehicles during all of 2019. The company had set a target to deliver 360,000 to 400,000 vehicles in 2019 and in October said it was “highly confident” about exceeding the lower end of its delivery goal.

Shares of the company rose 2.1 per cent to $439.39 in premarket trading.

Tesla delivered 92,550 Model 3s in the quarter, beating analysts’ average estimates of 85,488, according to IBES data from Refinitiv. The Model 3 is Tesla’s most affordable car, with lower-range versions available starting at $35,000.

Overall, total deliveries rose 50 per cent to 112,000 vehicles compared to a year earlier.

Analysts have questioned how rapidly Tesla’s vehicle sales will grow as government subsidies for electric vehicle purchases dwindle in the US, China and other markets. Some analysts consider those subsidies the biggest driver for Tesla purchases.

Published on January 03, 2020
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