(Reuters) – Tesla Inc (TSLA.O) beat Wall Street estimates for vehicle deliveries in its fourth quarter on Friday and met the low-end of its full-year delivery goal, boosted by demand for its mass-produced Model 3 sedans.
Tesla said it delivered 112,000 vehicles in the fourth quarter, including 92,550 Model 3 sedans and 19,450 Model S/X SUVs, which was above expectations of 104,960 vehicles, according to IBES data from Refinitiv.
In total, the Silicon Valley carmaker delivered approximately 367,500 vehicles during all of 2019. The company had set a target to deliver 360,000 to 400,000 vehicles in 2019 and in October said it was “highly confident” about exceeding the low end of its delivery goal.
Shares rose 2.1% to $439.39 in premarket trading.
Tesla delivered 92,550 Model 3s in the quarter, beating analysts’ average estimates of 85,488, according to IBES data from Refinitiv. The Model 3 is Tesla’s most affordable car, with lower-range versions available starting at $35,000.
Tesla also provided an update on its Shanghai factory, its first China-based plant, which it started building a year ago. The company said it has produced just under 1,000 customer salable cars and has begun deliveries at the Shanghai factory.
Tesla on Friday said the plant demonstrated a production run-rate capability of more than 3,000 units per week.
The Silicon Valley-based automaker has bolstered its presence in China, the world’s largest car market.
A company representative on Thursday said that Tesla will deliver its first China-made Model 3 sedans to the public on Jan. 7. The Chinese presence will also allow Tesla to minimize the impact of U.S.-China trade tensions.
Analysts have questioned how rapidly Tesla’s vehicle sales will grow as government subsidies for electric vehicle purchases dwindle in the United States, China and other markets. Some analysts consider those subsidies the biggest driver for Tesla purchases.
Reporting by Munsif Vengattil in Bengaluru, Tina Bellon in New York; Editing by Arun Koyyur and Nick Zieminski