Tesla delivers record 25,000 vehicles in Q1 as Market Cap Surpasses Ford

Tesla, the US luxury electric car maker, said first-quarter vehicle deliveries jumped 69 per cent from a year ago to a quarterly record of 25,000 vehicles, bouncing back from delays in the previous quarter. The company said of the total vehicles delivered, about 13,450 were Model S sedan and about 11,550 were Model X sports utility vehicle.

Tesla has said it expects to deliver 47,000 to 50,000 Model S and Model X vehicles combined in the first half of 2017. In the fourth quarter, deliveries had fallen 9.4 percent due to short-term production hurdles from the transition to a new autopilot hardware.

Tesla had said production challenges, which started at the end of October and lasted through early December, shifted vehicle production towards the end of the fourth quarter, resulting in delayed deliveries.

Ultimately, about 2,750 vehicles were missed being counted as deliveries in the fourth quarter either due to last-minute delays in transport or because the customer was unable to physically take delivery. Production in the first quarter also hit a quarterly record at 25,418 vehicles.

Tesla Chief Executive Elon Musk has taken big risks repeatedly since going public in 2010, but investors got spooked after he said in February the electric car company could get “close to the edge” as it burns cash ahead of its crucial Model 3 launch.

Tesla’s stock surged nearly 6% on Monday to an all-time high after the maker of electric cars reported the strong sales. Ford’s shares sank 3% following a weak sales report for March.

According to Bloomberg, Tesla reached a market capitalization of $48.7 billion compared with Ford’s $45.6 billion, while General Motors was at $51.2 billion.

Sources; Reuters, CNN, Bloomberg