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Summary:

It’s shaping up to be a bittersweet summer for Tesla Motors. While in June the electric car startup became embroiled in a lawsuit with founder Martin Eberhard, the Department of Energy also approved a long-awaited $465 million loan for battery manufacturing and the Model S electric […]

It’s shaping up to be a bittersweet summer for Tesla Motors. While in June the electric car startup became embroiled in a lawsuit with founder Martin Eberhard, the Department of Energy also approved a long-awaited $465 million loan for battery manufacturing and the Model S electric sedan. And now Tesla says that in July, for the first time ever, it achieved “overall corporate profitability,” with $1 million in earnings on $20 million in revenue.

tesla-roadster2

Over the last several months, Tesla has highlighted units within the company as they became cash-flow positive — first the powertrain supply unit, and then the core Roadster business. As recently as February, Tesla spokesperson Rachel Konrad told us the company did not expect to turn a profit in 2009.

What made the difference last month? It wasn’t the DOE loan. Konrad confirmed with us this morning that the government funds were not included in the calculation for July earnings. Rather, it was primarily sales of the new, second-generation Roadster (pictured above) that helped push it into the black for July. In addition, the $128,500 Roadster Sport, a tricked-out version of the Roadster, began shipping in late June with beefier margins than the $109,000 base model.

According to Konrad, there were no one-time events in July that boosted revenue — just healthy sales. But the company is now poised to make some big investments developing the Model S. “It’s definitely conceivable that we would not be in the black every month going forward,” Konrad told us this morning, “as expenditures ramp up” for the Model S project.

  1. [...] The company reported that, though it received a $465 million government loan in June, the profits didn’t come as a result of those funds. That money, a spokesperson said, would be used to help production of its upcoming Model S, the [...]

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  2. doubting thomas Saturday, August 8, 2009

    There is no way Tesla is profitable on an overall corporate basis on $20MM of sales. Maybe for the month of July. If you are going to write a story like this you should insist that the company provide a bigger picture of its finances. Otherwise its just feeding limited information.

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  3. this is great news- after dumping millions of dollars into this, it’s great to see it looking like it’s going to work out. Maybe now, Tesla can put more resources into a less-expensive, less-extravagant, affordable electric vehicle- Which is what we need if we want electric cars to have any positive effect on the environment, national security, the economy, or our pockets. To learn more about 100% electric cars, and why they are the best transportation option for our future, check out the book “Two Cents Per Mile” by Nevres Cefo- it is a great introduction to electric vehicles, and compares them to other types of cars… Full of great information on a topic everyone should know about.

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  4. [...] Earth2Tech Read the rest of the story from source Author: admin Categories: All News, Green Life, Life [...]

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