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Home / Business / Tesla reaches quarterly delivery record, says Elon Musk in e-mail

Tesla reaches quarterly delivery record, says Elon Musk in e-mail



Tesla is close to setting a record for the number of vehicles delivered in the quarter, and delivery logistics will play an important role in determining whether the item is damaged, says CEO Elon Musk on Tuesday in an email to employees.

"We already have enough vehicle orders to set a record, but the right cars aren't all in the right places," Musk said. "Logistics and final delivery are extremely important, as well as demand for vehicle variants available locally, but cannot reach people who ordered that variant before the end of the quarter."

The current quarterly delivery record, 90,700 cars, was set in the fourth quarter of 201

8.

Tesla did not immediately respond to a request for comment.

The email repeats a Musk sentiment expressed at Tesla's annual shareholder meeting on June 11, where he said the company had a "decent shot" to break its quarterly delivery record. Internal documents shown by Business Insider suggested that the electric car manufacturer was not breaking the record between late May and early June, based on a criterion described by Musk in a May 22 email to employees.

Tesla's second quarter delivery number will be particularly intensive, because the company's deliveries in the first quarter fell well during the quarter. Some analysts said the disappointing quarterly figures indicated a decline in demand for Tesla's vehicles, but the company owed logistical challenges related to international deliveries and seasonal trends.

Strong delivery numbers in the second quarter, even though they have not set up a company record, could restore confidence in the demand for Tesla's vehicles and help push the company back to profitability. (Tesla estimates it will be profitable in the third quarter, but not in others.)

Weak delivery numbers can intensify demand concerns and the company's chances of achieving consistent profitability. Tesla has produced four profitable quarters in its 16-year history, including two in the second half of 2018, when delivery numbers reached record highs.

You can read Musk's full email below:

As you may have noticed, there is a lot of speculation in our vehicle deliveries in the quarter. The reality is that we are on our way to posting a full-time post, but it will be very close. But if we go out, we can definitely do it! We already have enough vehicle orders to put in a record, but the right cars are not yet in the right places. Logistics and final delivery are extremely important, as well as demand for vehicle variants available locally, but cannot reach people who ordered that variant before the end of the quarter. I have great faith in you. Let me know if there is anything I can do to help. Thanks, Elon


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