Shares in Californian motor company Tesla rose over 14 per cent this afternoon to over 153 cents (around 99p) after the company reported forecast-beating second quarter results. This latest increase means share prices in the company are up over 420 per cent in just one year.
Tesla said its second quarter revenue was $405m, with earnings per share of 20 cents. This beat expectations of $387.9m revenue and 19 cents per share. The company said its production rate was up by a quarter to 500 cars per week, with 5,150 cars delivered in the quarter – beating the company’s own expectations for 4,500 deliveries.
The company has also made some significant cost reductions, including the redesign of a number of elements of the Model S.
For the third quarter, the company wants to deliver just over 5,000 Model S vehicles and has kept its full year target for 21,000 vehicles delivered worldwide. Around $150m is expected to be spent on capital expenditure in the second half of the year.
5 day share movement:
12 months to 7 August 2013: