On August 7th, Silicon Valley-based Tesla Motors announced that they have achieved profitability, something CEO Elon Musk had previously predicted would happen.
In the month of July they had $1 million of earnings on revenue of $20 million.
In the same month they delivered 109 Roadsters, the most ever in a single month, continued development work on the upcoming model S sedan, and expanded their retail network operations.
“We achieved a bottom-line profitability thanks to a tremendous amount of hard work by the Tesla team to improve quality, while simultaneously reducing costs on the Roadster,” said Tesla CEO Elon Musk. “This also shows that there is strong demand for a car that is unique in offering high performance with a clean conscience. Moreover, customers know that in buying the Roadster they are helping fund development of our mass market electric cars.”
In June, the company was awarded $465 million in low cost government loans to be used for Model S production. A requirement for the loans was that the company be viable, something they have now officially proven.