Tesla Acquires another Cost-Effective Quarter with Boost from Regulatory Credits
In the third quarter of 2020, the American electric vehicle and clean energy company ‘Tesla’ has made a profit or surplus of $331 million which is its fifth straight profitable quarter and a sign that the electric automaker or manufacturer is hitting its stride. However, this year’s quarter profit is more than doubles than that of the third quarter previous year.
The company generated $8.771 billion in revenue stimulated by $579 million in the energy storage sales and $581 million in services revenue. It also sold $397 million worth of regulatory credits in the quarter and a decrease from the record $428 million in credits it sold during quarter 2 of this current year.
In addition, the company ‘Tesla’ is beating its previous record of 112,000 automobile deliveries in the fourth quarter and has also delivered 139,300 vehicles this quarter. The organization produced 145,036 vehicles during the third quarter which sharply increased over the 82, 272 vehicles that were manufactured during the second quarter of the year when the California-based factory was shuttered for seven weeks because of the coronavirus (COVID19) pandemic.
Tesla, so far, has only sent out 318,350 cars to customers, the fourth quarter must be a blowout with 181, 650 deliveries to meet that target or goal. By the end of this year 2020, Elon Musk has doubled down on his promise to deliver 500,000 vehicles for sure.
The company has recently started cutting the costs and it has also quietly removed its return policy in which the new buyers of its electric vehicles could return them for a full refund within several days and it reduced its warranty coverage for used cars from four years or 50,000 miles to one year or 10,000 miles.