Tesla Motors built 8,763 Model S electric cars and delivered 7,579 of them to customers during the second quarter, according to just-released second-quarter results.

It expects to build about 9,000 cars this quarter, and deliver 7,800, largely due to a two-week production shutdown for retooling at its factory in Fremont, California--which cost it about 2,000 cars, it said.

READ: New Lithium-Ion Battery Uses Peroxide To Boost Energy Density By 7 Times: Report

35,000 cars this year

But the company says it is still on track to deliver about 35,000 cars during calendar 2014, its original guidance for the year's sales and leasing.

The factory upgrades will allow Tesla to produce 1,000 cars a week or more once the line is running at full speed.

This article covers some of the highlights of the letter to shareholders released by the company, along with the subsequent analysts' conference call.

Model S + Model X by end of 2015

Tesla still expects to be delivering at a rate of more than 100,000 cars by the end of 2015, when capacity expansion has been completed and its Model X crossover has joined the Model S in full production.

The good news, said the shareholder letter, is that demand for the Model S continues to grow.

"Average global delivery wait times increased because our production growth was unable to keep pace with increased demand."

The total pool of Tesla vehicles on the road, moreover, has covered almost 400 million miles.

Project Tiger site at USA Parkway Business Park, Reno--for Tesla gigafactory? [photo: Bob Tregilus]

Project Tiger site at USA Parkway Business Park, Reno--for Tesla gigafactory? [photo: Bob Tregilus]

Gigafactory progress

Moreover, the company has broken ground in Nevada on a "potential" site for its lithium-ion cell fabrication "gigafactory," which had been the subject of multiple rumors over the last few weeks.

DON'T MISS: Tesla, Panasonic Sign Gigafactory Pact; Nevada Site Work Already Underway?

The company said it "remain[s] on track with the site selection process," and that, "Consistent with our strategy to identify and break ground on multiple sites, we continue to evaluate other locations in Arizona, California, New Mexico, and Texas."

The company announced an agreement with cell partner Panasonic this morning to build the factory, which Tesla will operate. Panasonic will invest in production equipment for the factory, while Tesla will "prepare and provide" the building, utilities, and more.

We will update this article with additional information as it becomes available.


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