Tesla is aiming for a record quarter of production and after some ups and downs over the last two months, Electrek has learned that production has picked up in the past two days as the end of record quarter approaches.
We have been tracking Tesla’s production in the past few weeks of this critical period as the company is attempting to become profitable.
As we reported last week, Tesla Model 3 production fell to ~3,100 units during labor day-week.
A week later, Model 3 production increased to about 4,400 units this week (Friday to Friday), according to a source familiar with Tesla’s production.
Tesla produced close to 6,700 vehicles over the last 7 days, which is close to its record.
But the most encouraging data point is that production increased significantly in the past few days as Tesla produced around 2,300 vehicles in the last two days.
Tesla is still on track to achieve at least the lower-end of their Model 3 production guidance of 50,000 to 55,000 vehicles, but with the most recent burst, the automaker could also surpass it by the end of the month if it keeps trending up.
Last week, CEO Elon Musk said that Tesla is on track for “the most amazing quarter in their history” and that they are “building and delivering more than twice as many cars as they did last quarter.” Tesla said that it built 53,339 vehicles, including 28,578 Model 3’s last quarter.
To date, Tesla has produced about 64,300 vehicles this quarter, including around 42,200 Model 3 vehicles.
As usual, let me start by saying that no matter how you look at those numbers, Tesla is producing electric vehicles at an incredible rate, better than any legacy automaker, and that should be celebrated.
But it is also important that Tesla reaches its production goals in order for the company to become profitable and sustainable.
Therefore, we release those numbers to help our readers track the progress toward that goal.
While Tesla still hasn’t managed to maintain a production of 5,000 Model 3 vehicles over a 7-day period, the surge over the past few days is extremely encouraging.
It looks like Tesla is going to easily produce over 50,000 Model 3’s during the quarter and close to 80,000 vehicles total.
In terms of profitability, we expect that Model 3 gross margin will significantly increase and Model S and Model X production and deliveries are also very high, which should help with the overall mix.
There are too many variables to know for sure that Tesla will turn a profit this quarter, but it certainly looks like they are on guidance for everything else, which is a good sign.
What do you think? Let us know in the comment section below.