Tesla Profitable For First Time As They Nix 40 kWh Tesla Model S

2013 tesla model s ocean sunset
Tesla Model S

Tesla announced that not only have they exceeded their Q1 sales goals for the Tesla Model S, but that for the first time in the company’s history, Tesla is profitable. Included in the announcement was the news that the entry-level Model S with the smaller 40 kWh battery will no longer be produced.

Two months ago, Tesla had set a sales goal of 4500 units for the Tesla Model S but they exceeded that number and hit 4750 units sold. Good news for Tesla, especially after the controversy over that infamous New York Times review just a few months ago. Of that number, a paltry 4% had the entry-level 40kWh battery which led to the decision to discontinue its production.

The smaller battery also came with a smaller price, letting consumers park a Tesla Model S in their driveways for $57,000, but in the end it was vehicle range over vehicle cost that enticed people to buy. For those with the cheaper model on order, they won’t be getting quite the car they expected.

Since the 40 kWh is no longer being made, any Tesla Model S ordered with that smaller battery will instead get one with a 60 kWh battery that has been electronically limited. The upside is that they’ll benefit from the improved acceleration and higher top speed that come along with the larger battery.

An additional bonus is the announcement that all 60 kWh vehicles have been and will continue to be built with Supercharger hardware automatically included. This is the hardware needed to use the fast-charging stations that are being added outside metropolitan areas so owners can more easily charge while on longer trips.

Of course, if they’ve had a change of heart, the automaker is happy to upgrade them from the throttled 60 kWh battery to the full version of the 60 kWh either now or at any point in the future. This option applies to both the original owner of the Tesla Model S and any subsequent vehicle owners.

Nicole Wakelin fell in love with cars as a teenager when she got to go for a ride in a Ferrari. It was red and it was fast and that was all that mattered. Game over. She considers things a bit more carefully now, but still has a weakness for fast, beautiful cars. Nicole also writes for NerdApproved and GeekMom.