It seems like not even a global pandemic can slow down the electric vehicle revolution. Despite significant setbacks like factory shutdowns and logistic problems delivering new vehicles Tesla just had their best first quarter ever. But will they be able to continue this strong performance throughout 2020?

A historic first quarter

We already knew that deliveries had exceeded expectations in Q1. But expanding production is expensive, and it wasn’t expected that Tesla could be profitable in its historically unprofitable first quarter.

Tesla has shocked analysts, reporting 32% year-over-year growth in revenue. Q1 is the first time Tesla has ever reported positive GAAP(generally accepted accounting principals) net income in the first quarter.

Deliveries are down compared to the end of 2019. But this is to be expected as automotive sales tend to be down across the board in Q1.

Year of the Model Y

The release of Model Y makes 2020 a very big year for Tesla. And things are going better than they ever could have hoped. The Model Y was designed to be easy produce, with shared production capacity with the Model 3. This approach allowed them to quickly expand production capacity, delivering the car far ahead of schedule.

The Model Y was profitable to produce in its first quarter. Tesla has learned from Model 3. They were able to produce more Model Y’s in Q1 than all the Model 3’s they were able to make in the first half of 2017.

Producing more Model Y’s is Tesla’s biggest goal right now, as they work towards Model Y production lines in Shanghai and Berlin. Electric crossovers are a big market, and Tesla is ready to dominate it.

Extending their lead

Tesla already holds a firm grasp over the EV market. And they’re continuing to extend their lead in both technology and production capacity. The Tesla Model S continues to wear the crown as the longest range EV on the market.

And their expansion of the Shanghai Gigafactory has been going well. They say it is now producing Model 3s at a similar margin to US-produced Model 3s. The expansion of the factory for Model Y production is one of Tesla’s most important near-term goals.

That will just serve to extend their massive lead in EV production capacity. Tesla says they have the production capacity right now to be able to deliver up to 500,000 vehicles this year, despite factory shutdowns and other delays. It seems Tesla is ready for EVs to go mainstream, and that might come sooner than we all thought.

We hope you enjoyed reading! Let us know your thoughts in the comments down below. And make sure to follow our social media up top for all the latest electric vehicle news!

You May Also Like

Tesla Full Self-Driving is Coming Soon! For Real This Time! Hopefully…

Tesla has been promising their full self-driving features would be coming soon…

The Autobidder Could Make Tesla The World’s Biggest Power Company

While it might sound weird for a car company to swoop in…

Why is Tesla Stock Suddenly Skyrocketing?

Tesla’s stock price has doubled in the past 3 months. With things…

Tesla Cybertruck LEGO Kit Could Reach Production

With consumers increasingly leaning towards larger cars, there’s a strong demand for…