Tomahawk, WI 11/06/2014 (Basicsmedia) – Tesla Motors Inc. (NASDAQ:TSLA) might have one of the best problems on its hand in terms of increased orders for its high-end electric cars. Improving the manufacturing process to meet demand continues to be the biggest hurdle for the giant electric company. CNBC’s Phil LeBeau reports that the company has been unable to fulfill some of the orders due to a deficiency of hardware needed for the all-wheel drive Model-S vehicle.
Tesla Motors Inc. (NASDAQ:TSLA) maintains that lower production is not a reflection that the appetite for Model-S is declining.
“If there is any problem right now is that Tesla does not have the capacity within the system as it builds the new generation or the next generation of the Model-S vehicle the all-wheel drive version,” said Mr. LeBeau.
The main concern among investors has to do with the company pushing the unveiling of the much awaited Model X sports utility vehicle. Model-X will now be unveiled in the third quarter of 2015 against an earlier forecast of the second quarter.
“The Q3 deliveries of 7,785 that is roughly in line with expectation. 2014 deliveries are however coming in at 33,000 that is below the prior estimate which was 35,000. The full year production however we should point is at 35,000. The difference being that they do not have some of the hardware that they need for making the all-wheel drive Model-S vehicles” said Mr. LeBeau.
CEO, Elon Musk reiterated that Tesla Motors Inc. (NASDAQ:TSLA) is in line to build cars at the rate of 2,000 units a week as the company. Tesla is planning to be producing 100,000 cars a year by the end of 2015.
Tesla has been under increased pressure in the recent past to be providing monthly sales of its vehicles just as other auto companies normally do. Musk rebuffed the suggestions arguing that the media normally reads ‘nonsense’ into numbers.
Tesla Motors Inc. (NASDAQ:TSLA) posted a loss of $75 million for the third quarter double the amount posted last year same quarter. Revenue on the hand came in at $852 million nearly double last year’s margins and more than $769 million posted in the second quarter.