Tesla (TSLA) delivered 83,500 vehicles and produced 80,142 vehicles during the third quarter ended September 30, 2018, the company announced on Tuesday. After CEO Elon Musk and Tesla agreed to SEC’s conditions on Saturday, shares of Tesla rose 17.35% to $310.70 during Monday’s regular trading session.
The stock, which was up about 1% before the bell on Tuesday, turned to the negative territory during the first hour of trading, dragged down by the tariff rates in China.
Q3 deliveries totaled 83,500 vehicles, which include 55,840 Model 3; 14,470 Model S; and 13,190 Model X vehicles. In the third quarter alone, the company delivered more than 80% of the vehicles delivered in the whole of 2017.
Model 3 deliveries in the three-month period were restricted to higher-priced variants, cash/loan transactions, and North American customers only. Tesla plans to increase the Model 3 deliveries by introducing leasing, standard battery and other lower-priced variants of the car, and by starting worldwide deliveries.
The US/China trade war caused an import tariff rate of 40% on Tesla vehicles compared to 15% for other imported cars in China. To compete in China, which has got a huge potential for electric vehicles, Tesla plans to spur its Shanghai factory construction.
Production in the recently ended quarter increased 50% to 80,142 vehicles compared with June quarter. The company produced 53,239 Model 3, and 26,903 Model S and X vehicles in the September quarter. Model 3 production met Tesla’s guidance and rose 86% compared to the second quarter. Model S and X vehicles were a tad higher than Q2 and matched with the company’s full-year outlook.
The company transitioned to more dual motor drives than rear wheel drive cars in the third quarter. In the final week of the September quarter, Tesla produced over 5,300 Model 3 vehicles. Before the quarter ended, Elon Musk tweeted about the higher volume and deliveries achieved in the quarter and thanked Tesla supporters.
The automaker plans to continue to expand direct deliveries to customers at their home or office, a service that it launched in Q3. Tesla added that its overall target of 100,000 Model S and X deliveries in 2018 remains unchanged.