Posted on 08/07/2013 10:51:24 PM PDT by grundle
Finally, we know the number. Tesla Motors announced today that it sold 5,150 Model S electric vehicles in North America last quarter. Divide by three and you see that the California company sold around 1,700 cars a month, which puts it right up there with the current plug-in vehicle champions, the Nissan Leaf and the Chevy Volt. That's despite the fact that the cheapest Model S, which starts at $69,900 but often sells for a lot more with better options, costs at least twice as much as the sales leaders. Tesla said it was making "almost 500 vehicles per week" in the second quarter of this year.
The sales contributed to an overall increase in net income (non-GAAP) of 70 percent compared to the first quarter, up to $26 million. Tesla said it achieved a gross margin of 22 percent (non-GAAP), "despite significant reduction in ZEV credits" (which was no surprise) and should hit 25 percent by the fourth quarter of 2013. That number is simply a company's sales revenue with the cost of goods sold taken out, divided by total sales revenue. Put it all together and you get the following statement: "Our financial position and balance sheet have never been stronger." Still, there was no talk in today's conference call of an overall profitable quarter, as there was three months ago.
With all of the good financial news, Tesla and CEO Elon Musk said the primary focus now is on "expanding production to meet worldwide demand." Tesla started delivering the Model S to Europe this week (the first lucky countries were Norway, Switzerland and the Netherlands) and if demand there matches North America, which Musk said is likely, then the company predicts "annualized sales for Model S could exceed 40,000 units per year by late 2014."
Musk said the upcoming new-market Model S versions (right-hand-drive for Japan and the Chinese model) are taking up most of Tesla's resources at the current moment. In China, for example, the company is trying to improve the comfort level of the rear seat, because it is common for people in The People's Republic to be driven around. The Model S was designed to be the perfect driver's car, Musk said, but in China it will have an "executive back seat" instead of the "family back seat" the car has now. Things like this mean that work on the Model X won't really start to ramp up until the end of this year. Deliveries of that car should start at the end of 2014.
Looking further down the road, Musk said that the next-gen Tesla vehicle, the long-rumored $35,000 (without any subsidies) EV, should be a compelling option with a 200-mile range. That vehicle is still quite far away – he wondered aloud how his company might need more battery cells than the laptop industry does if it's making a half-million cars a year – but at least his automotive competition now has targets to shoot for if they want to beat Tesla in the longer-range EV game.
It's coming up on 140k miles and going strong. Gas mileage is about the same as our Plymouth vans...at least on the highway. Around town 10 mpg, highway 22mpg. Not the best but I can haul or tow anything I need. Room for 7 and comfortable.
I can do most of the maintenance/repairs myself. Best of all it can cruise around nice and comfy but when I put my foot in it the tires smoke, you get pushed back in the seat and there is a HUGE smile on my face.
At this point they are just mostly wealthy people's toys - that I get to help pay for... A bit like solar power. The well to do can dabble with solar power while the rest of us get to subsidize their feel good hobby. Without government intervention the economics of solar rarely makes any sense.
Regarding EV’s they are not ready for prime time - yet - but I do believe it's only a matter of time before they are. That it will be a bit like the CRT monitor/TV. When EV’s are truly better performers and cost less there will be a sudden and dramatic shift - and it will be the new normal.
Bull Kuh Wrap.
Covering 3 miles, in LA, could take an afternoon... LOL
YODA SEZ:
BIG SAFE COMFORTABLE AMERICAN CARS, BETTER THEY ARE!
“I fail to see reason for the hostility many folks calling themselves conservative have to EV’s.”
I don’t think the hostility is towards EV’s, at least by me it’s not. My hostility is towards those who write laws and policies giving buyers of these vehicles large subsidies and tax credits. And, conversely, don’t require these vehicles to pay their fair share of road taxes as they currently zero road taxes. So, the good old tax payer, the few of us there are remaining, are paying a hefty tab to prop up these EV’s. I’m ok with these cars if they can successfully compete on their own merit in the market place. But, not ok if I have to pay hefty taxes and subsidies for them to exist. So,hope you now “see the reason”. :)
Yes it is, got to see one up close the other day. The more I read about battery technologies, the more it looks like the energy density increases are not in lock step with "Moores Law" i.e. chip speed and capabilities doubling every 18 months.
With that said, as a fan of the Wankel Engine ( yes I know their are bazillion detractors and comments ) I'd love to see something like this powered by a Rotary on CNG, especially if that is a range extender to an electric drivetrain.
As I type this, their is a gent in California getting a 3 Rotor Mazda ready to go to the dyno that is connected to a "Turbo-Compound" unit. This TC recovery device captures the waste energy of the exhaust and sends it back into the main shaft if you will. This unit might reduce the specific fuel consumption enough to make the Rotary viable again.... Stay Tuned...
You do know that we could be energy self sufficient within 10 years if the govt only got out of the way with all of the new technologies being used in ND and the like?
At one time the “future” volt was going to have a 120 mile range... now it is more like 18 miles with 40 miles claimed.
That's been the mantra of the EV ever since Edison sold the first one more than a century ago. It hasn't happened yet. The problem is battery technology. There simply are no batteries on the horizon with the energy storage capacity and refill rate of a gas tank.
Think of your last battery powered electric drill motor. A drill motor with two batteries costs less than two replacement batteries. And the batteries go bad in a couple of years.
If I were a wealthy car collector I would buy one or two Volts to store under a tarp in some warehouse or garage. Sure, it’s a colossal flop but so was the Edsel. Well preserved Edsels can fetch a pretty penny at auction.
I saw my first Tesla Model S yesterday in Frisco, TX. Beautiful car. At $60k for the cheapest model and over $90k for the model you actually want, it had better be really, really beautiful.
Per the Tesla Motors website:
We have received many requests for a Battery Replacement Option. We are happy to now offer this option for all three battery variants. This option will provide you a new battery anytime after the end of the eighth year at a fixed price. Prices are as follows: $8,000 for the 40 kWh battery, $10,000 for the 60 kWh battery, and $12,000 for the 85 kWh battery.
&$^#%!! That's going to hurt!
Golf cart?
IF we have a society left by then... our future is extremely that uncertain and now Egypt stand on the cusp of anarchy and if the Suez Canal closes... 80% of the worlds oil flows through it... storm clouds forming!
Indeed beautiful car. With a Lexus engine inside would be priceless.
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