TESLA FACES TROUBLE MEETING CUSTOMER EXPECTATIONS
Tesla Motors produced 18,345 cars last quarter – an increase of 20 percent from the previous quarter – but delivered only 14,370 vehicles, testing the patience of both investors and customers as it faces a government investigation into the safety of its self-driving car feature. In a press release the company blamed an "extreme" production increase for the delays, adding that 5,150 of its Model X and Model S cars were still in transit to dealers and customers at the end of last quarter. The electric automaker has failed to meet certain self-imposed deadlines in the past, as these delayed shipments were twice as much compared with the previous quarter. Tesla said the cars in transit should be delivered early in the third quarter."Tesla expects to produce and deliver about 50,000 vehicles during the second half of 2016, approximately equal to all of 2015," according to the company.