Tesla Inc. on Wednesday reported quarterly earnings beating Wall Street expectations, which sent the stock higher in the extended session.
It said it earned $ 331 million, or 27 cents per share, in the quarter, compared with 16 cents in the year-ago period.
Adjusted for a one-time item, the company earned $ 874 million, or 76 cents a share, compared with 37 cents a share a year earlier.
This was Tesla’s fifth consecutive GAAP and adjusted quarterly profit.
Sales increased to $ 8.77 billion from $ 6.30 billion a year earlier.
Analysts polled by FactSet expected adjusted earnings of 56 cents on sales of $ 8.28 billion.
Tesla also said in a letter to investors that while maintaining its sales guidance for 2020, its goal is to “become more difficult, delivering our goal of delivering half a million vehicles in 2020.”
In the letter, Tesla stated that it has outgrown Fremont, California, has the capacity to manufacture 500,000 units of Model 3 and Model Y vehicles in a year, started a second paint shop and “the world’s largest diastening machine. “Is establishing.
Tremla said the Fremont plant would reach full capacity at the end of the year or early 2021.
Tesla said it increased the production capacity of the Model 3 to 250,000 vehicles in a year at its Shanghai factory, and it cut the Model 3 price in China, making it the cheapest premium mid-size sedan in that country. The company said that a third shift has been put in the Chinese factory.
The company said production at the Berlin and Austin, Texas-area factories is expected to begin next year. Tesla Semi, the company’s long-haul electric truck delivery is also scheduled for 2021.
Tesla ended the quarter with $ 14.5 billion in cash and equivalents, a quarter-on-quarter increase of $ 5.9 billion, thanks to its recent $ 5 billion capital raise.
Tesla is hosting a conference call with analysts and others at 5:30 pm Eastern.
Analysts will be looking for comments about demand for the Model 3, particularly in China and around the company’s goal of selling about 500,000 vehicles in 2020. Many analysts are skeptical of that limit.
Tesla said earlier this month it delivered 139,300 vehicles above Wall Street’s expectations in its third quarter.
Tesla’s Chief Executive Officer Elon Musk announced on Twitter last week a price cut of $ 69,420 to $ 71,990 for the Model S base model.
On its September “Battery Day”, the company announced a new top-of-the-line version of the Model S to be available next year, as well as a yet-to-name vehicle for under $ 25,000.
Tesla shares have gained nearly 408% this year, with a gain of nearly 7% for the S&P 500 Index SPX