Tesla Motors achieves profitability for the first time

Tesla Motors has announced that it turned profitable for the first time in July, shipping a record 109 vehicles during the month. The company said that it attained overall corporate profitability with approximately $1 million of earnings on revenue of $20 million.

Tesla said that profitability arose primarily from improved gross margin on the Roadster 2, the second-generation of Tesla’s award-winning electric sports car.

“In the third quarter, the privately held company will make significant deliveries to European customers while expanding its presence in several countries,” the California-based company said in a statement.

Tesla recently won $465 million from the Department of Energy for development of the Model S sedan. The all-electric sedan will have a base price of $49,900, roughly half the price of the Roadster. Along with the Model S, Tesla is also joining Daimler to produce an electric version of the Smart car.

– By: Kap Shah