Tesla Model 3 Totaled in Roll Over Crash

18 Juillet, 2018, 10:38 | Auteur: Auguste Feret
  • Tesla Model 3 Totaled in Roll Over Crash

Musk's promise came in response to an article claiming that Tesla was bleeding money and in desperate need of a cash injection, Musk, as he's prone to do, quickly took to Twitter and said: "Tesla will be profitable & cash flow positive in Q3 & Q4, so obviously no need to raise money". The cheapest Model 3 now available starts at about $US50,000, though a US$35,000 version is planned by around the end of this year.

Tesla has more than its fair share of naysayers.

After examining the auto in more detail, Munro & Associates founder Sandy Munro said he thinks the Model 3 is profitable for Tesla, with each vehicle having the potential to bring the company more than a 30% margin, a figure that would exceed every other electric vehicle. He added: "No electric auto is getting 30 percent".

Tesla has set a long-term target for the Model 3 to earn a 25 per cent gross margin.

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In previous episodes discussing the Model 3, Munro had been critical of the car's fit and finish but praised its handling on the road.

Munro & Associates, a small firm in Detroit that specializes in tearing down new vehicles and analyzing all their parts, released a scathing report in April calling the Model 3 poorly built and expensive to make. "I didn't think it would happen this way", he said on Monday. On that second point, at least, founder Sandy Munro has reversed course.

The rollout of Tesla Inc.'s Model 3 electric sedan over the a year ago was plagued by delays and doubts over whether it could ever be profitable.

Tesla is still ramping up Model 3 production but hit the milestone of producing 5,000 units per week in June.


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