In after-market trading, Tesla shares fell more than 1% to US$337.84.
Tesla said yesterday that a handful of systems at its Fremont plant in California and its battery factory in Reno, Nevada, "have taken longer to activate than expected".
The Model 3 has become Tesla's most anticipated auto, garnering hundreds of thousands of preorders due to its promise of a mid-30K base price and a range well over 200 miles, not to mention premium vehicle features and style.
While the exact calendar boundaries are indeed arbitrary in terms of auto manufacturing, that doesn't detract from the highly ambitious, and risky nature of Tesla's Model 3 production goals.More news: Congress upbeat as Uttar Pradesh government allows Rahul Gandhi to visit Amethi
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Tesla built 260 Model 3s between July and September, the company said Monday in a statement. The Model 3 manufacturing ramp up will be incredibly hard even if Tesla hits all of its production goals.
The Model 3 is Tesla's first auto for the mass market, with a price tag starting at $35,000, moving beyond its niche as a provider of luxury vehicles that typically sell for more than $100,000. Both the Models S and X had slower-than-advertised rollout schedules when they first launched.
On Monday afternoon Tesla sent out a press release detailing vehicle deliveries for the quarter, and the missive carried mixed news. The market would rather see the Model 3 produced well than have it rushed out quickly to meet delivery targets, said Morgan Stanley analyst Adam Jonas. Of that, about 14,000 were attributed to the Model S, 11,865 to the Model X, and 220 to the Model 3. Tesla sold these vehicles in the quarter to employees and investors.
"Let's face that the Model 3 is actually sort of a beta test right now", short-seller Jim Chanos, who's betting against Tesla shares, said on Bloomberg Television last week. While the vehicle was only expected to represent a fraction of Tesla's total revenue in Q3, the automaker expects the lower-priced vehicle's production to soar in the coming quarters.
Certain statements herein, including statements regarding future deliveries of Model S and Model X and production of Model 3, are "forward-looking statements" that are subject to risks and uncertainties.