Musk says Tesla on pace of record quarter in leaked email
Finally, some good news for Tesla.
A leaked email from Tesla CEO Elon Musk to staff suggests the electric car maker could be poised for record deliveries during the second quarter.
In the email, which was confirmed as authentic by Reuters, Musk said Tesla is currently on pace to set a new company record for quarterly sales. That means Tesla's second quarter deliveries could top the record-setting 90,700 cars the company sold during the fourth quarter of last year.
Musk cited an increase in Model 3 production for his optimism about a record-setting quarter. Tesla struggled with the initial ramp-up of Model 3 production, but Musk says the company is now building about 900 cars per day. Tesla would need to boost production to 1,000 Model 3s per day, or 7,000 per week, to achieve a record quarter, but Musk says that target is within reach.
"In order to achieve this, we need sustained output of 1,000 Model 3's per day,” Musk wrote. "Almost all parts of the Model 3 production system have exceeded 1000 units on multiple days (congratulations!!) and we've averaged about 900/day this week, so we're only about 10% away from 7000/week.”
The leaked email couldn't have come at a better time for Tesla. The automaker's stock price has tumbled by nearly 40 percent this year as investors worried about Tesla's cash burn and weakening demand for its electric vehicles. However, Tesla's outlook is much rosier after the leaked email. Wall Street is responding in part with Tesla prices up nearly a full percentage point at the time of publishing.