Electric car company Tesla Motors announced its first ever profit, for the first quarter of 2013, after sales of its flagship sedan the Tesla Model S exceeded expectations.
"Vehicle deliveries (sales) exceeded 4,750 units vs. the 4,500 unit prior outlook. As a result, Tesla is amending its Q1 guidance to full profitability," Tesla said in a press release.
The company plans to sell a total of 20,000 cars during 2013.
The Model S won the prestigious MotorTrend Car of the Year Award for 2012, the first all-electric car to do so. Despite excellent reviews, analysts wondered whether the fledgling company would be able to turn a profit on the expensive cars, which cost between $60,000 and $100,000 depending on options.
Earlier this year, a New York Times review caused a scandal when the reviewer claimed his Model S ran out of charge in the middle of a long journey, stranding him on the side of the highway. Tesla CEO Elon Musk disputed that claim, presenting data from the review car's onboard trip monitor that seemed to refute the review.
After several weeks, the New York Times determined that the reviewer did not display good judgment on his trip, but also did not make any false claims.
Tesla's stocks fell for a time before recovering, and they are likely to surge with the news of profitability.
Tesla also announced that it will not be producing its lowest-cost Model S option, a 40kWh engine designed for short trips, citing a lack of pre-orders. In addition, all 60kWh engines will be given a free upgrade to the Supercharger package, which allows quick and free recharging at Tesla-branded stations across the country.
The company plans to unveil more of the charging stations over the next few years, ultimately dotting highways with and local parking lots with the devices.
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