"While we continue to make significant progress each week in fixing Model 3 bottlenecks, the nature of manufacturing challenges during a ramp such as this makes it hard to predict exactly how long it will take for all bottlenecks to be cleared or when new ones will appear", Tesla said in a statement.
In July, as Tesla delivered the first batch of Model 3's to employees, Musk admitted the company went through "production hell" to bring all three of its cars to market.
Tesla said the main constraint was its battery module assembly line at its Nevada Gigafactory, where the company had to redesign part of the production process. It had planned to build more than 1,500. The EV automaker adds that it now expects to achieve a production rate of 5K Model 3 vehicles per week by late in the first quarter of 2018.
Model 3 production delays mean postponed sales could exacerbate the company's cash burn, which Tesla estimated at $1 billion in the upcoming quarter. With several hundred thousand people placing refundable deposits for the vehicle, anyone who orders a auto now is unlikely to receive it until at least 2019, and possibly later. They have risen 45 percent since the start of this year.
Albert Einstein's 'secret to happiness' note sells for $1.9m
And now, the precious note is being sold at an auction house in Jerusalem, for Dollars 1.56 million (Rs 10,13,38,380). In June, letters written by Einstein about God, Israel and physics sold for almost $210,000 at a Jerusalem auction.
Tesla's negative free cash flow expanded to -$1.4 billion, more than analysts' forecast for -$1.2 billion. However Tesla plans to produce about 10 percent fewer cars of both models in the fourth quarter as more resources shift toward Model 3. Main Street Research LLC bought a new stake in shares of Tesla in the 2nd quarter worth about $602,000. It also spent $325 million to repay a credit facility in the quarter.
Tesla will no longer reach its long-stated goal of producing 5,000 Model 3 cars per week in 2017, pushing that deadline back amid production hiccups and a massive $619 million quarterly loss. Following the completion of the sale, the vice president now owns 1,736 shares of the company's stock, valued at $589,354.64.
Revenue rose 30 percent to $2.98 billion.
Musk previously acknowledged the difficulty in beginning manufacturing of the Model 3, saying that the process is highly automated and that Tesla is intent on revolutionizing automotive production and not following standard industry practices. Consequently, both Model S and Model X gained further market share in the United States luxury vehicle market.
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