Last night, Tesla nearly achieved its targets for the production of the Model 3, making it only a few hours after midnight has passed yesterday morning. The reveal was able to boost the share price of the company by 4.5 per cent.
Previously, Elon Musk, the CEO of Tesla, had said that he wanted to achieve total production numbers of 5,000 cars per week by the end of June. As the 1st of July rolled around, Tesla was just a few cars shy of that target.
According to some reports that were released by Reuters, Tesla workers disclosed that the 5,000th car rolled off the production line at the factory in Fremont, California at around 5 am local time yesterday.
In an email that was sent to employees later that day, Musk said that the firm had hit its target on time, and anticipated that the company will be able to produce 6,000 Model 3 sedans per week “next month.” Musk also said that Tesla had been able to achieve its 7,000 per week production targets for the Model X and Model S at the same time.
The said milestone arrives as Tesla was forced to slash 9 percent of its total workforce during the previous month as it burned through cash attempting to meet its production targets, which saw the company establishing makeshift factories out of tents to accommodate new production lines urgently.
However, the firm has said that it will not be required to raise cash this year. Previously, Musk tweeted that Tesla is anticipated to achieve profitability in either the third or fourth quarter of 2018.
The official production and delivery numbers that were released by the company this afternoon revealed that Tesla was able to produce 5,031 Model 3 cars during the last seven days of its second quarter. The numbers also show that 11,116 cars are in transit to customers. These are expected to be delivered early next quarter.
The production of the Model 3 has now tripled to a total of 28,578 cars during the second quarter, as its outstanding net reservations stands at approximately 420,000.
As the markets opened this morning, the share price of the company was up by 4.51 percent.
The company has been plagued by controversy during recent weeks, as Musk has accused some former employees of sabotage following a small fire on one production line and filed a lawsuit against another employee for organising a data leak to the press.