Tesla Motors is "highly confident" of attaining sales of 20,000 electric vehicles in 2013, according to CEO Elon Musk. He added that with an annual order base of just 8,000 units, Tesla would be able to achieve a positive cash flow. During the annual meeting of Tesla’s shareholders at the Computer History Museum in Mountain View, Calif., Musk said that the company is expected to generate a 25% gross margin, with an operating margin in the low to mid teens very soon.
Tesla posted an $89.9 million net loss in the first quarter compared to its loss last year of $48.9 million. It appears that the expenses of preparing the Model S sedan to production had piled up.
Its revenue in the first quarter declined to $30.2 million, from $49 million in 2011, due to the impact of discontinuing Roadster sales in North America. Musk said that 2012 is the "year of two halves," with the Model S launch regarded as the dividing line, according to Autonews.
About 90% of Tesla’s revenue this year stems from the sedan. Tesla anticipates that its full-year revenue will be between $560 million and $600 million. Just last week, Tesla completed the delivery of its first two Model S sedans.
Deliveries on a wider scale will start this month. Model S pricing is from $57,400 and could rise up to $105,400 with longer-range and higher-performance battery packs. A $7,500 federal tax credit could be applied to these vehicles. Musk said that a 45-day nationwide road show begins in June.
Tesla will begin to sell the Model S in Europe and Japan in six months. It will be offered to the Chinese market in 2013. Tesla will start to produce its right-hand-drive models in mid-2013. Musk said that Tesla is hoping to achieve sales of 35,000 in 2014, boosted with the arrival of the Model X crossover.
Model S from Tesla holds the distinction of not simply being the first sedan to run on pure electricity, it is also the best example when it comes to how automotive engineering should evolve. With an excellent combination of efficiency, performance, and safety, it has managed to change how people view 21st century cars.
The Model S not only has the longest range possible for an electric vehicle but it also delivers the highest when it comes to safety ratings. The fact that software updates are available over-the-air just makes it even better. Occupantal safety is exceptional in the Model S and one example is that it uses the brand’s very own architecture wherein the battery is placed on the floor.
This resulted in the model have a low center of gravity and thus lowers the possibility of a rollover from happening while making sure that performance and handling are both improved. Since there is no engine, it means that compared to other sedans in the market, the Model S has a larger crumple zone. It also means that it can better absorb any energy in the event of a collision on the front section.
There are also a number of standard features equipped inside like the lane departure warning, collision warning, blind spot detection, and automatic emergency braking. Tesla though is also offering a number of additional features as an option like the autopark, autosteer, summon, and traffic-aware cruise control. There is no question that the Model is truly on of the safest vehicles out there.
As mentioned, a large part of it is due to the electric drivetrain being placed under the car which results in a low center of gravity and thus minimizes any rollover risk. As proof, the Model has received the highest safety ratings from the Euro NCAP and the NHTSA. When testing in the U.S., it manages to set a new record in relation to the lowest possibility of injuring the occupants.