Tesla announces a surprise profit for Q3 2018-2019

Tesla Inc. has reported a net income of US$ 312 million with an operating income of US$ 417 million and an operating margin of 6.1 percent for the 3rd quarter of 2018-19. The company's automotive revenue increased by 82% during the same period. Based on this report, the share prices rose by more than 12%.

The electric carmaker's profit stood at US$ 311.5 million, or $US 1.75 a share, in the third quarter. In comparison, the company had registered a loss of US$ 619.3 million, or US$ 3.70 a share one year earlier.

In Q3 2018-19, Tesla delivered 56,065 Model 3 sedans, making it the best-selling car in US in terms of revenue and the 5th best-selling car in terms of volume. The company reports that less than 20% of its 455,000 reservations for the Model 3 were cancelled.

Tesla would start accepting orders for the Model 3 in Europe and China by the end of this year. It aims to launch the car in Europe in early 2019.