Elon Musk wants Tesla to branch out into heavy duty trucks and buses as part of his long term “master plan” for the company that also includes solar energy and ride-sharing. He said plans are already in the works for trucks and buses with more to be revealed next year. And he is still backing the merger with solar panel installer, Solar City. But some analysts are skeptical, noting that Tesla has been not been meeting production targets adding that Musk gave no indication when the company might start turning a profit.
“This was an outstanding quarter for GM,” said Chairman and CEO Mary Barra. “Our results were generated by strong retail sales in the U.S., record sales in China and a continued emphasis on improving the performance of our operations worldwide. We’ll continue to focus on driving profitable growth and leveraging our technical expertise to lead in the future of personal mobility.” Here are some of the key results. Earnings in the second quarter came to a record $2.87 billion while earnings per share topped analyst’s expectations at $1.81. Forecasters were looking at $1.52. GM raised its full year earnings per share prediction but said Britain’s decision to leave the European Union could cost GM $400 million and leaves in doubt the automaker’s goal of breaking even in Europe this year. GM was aided by strong sales here at home and in China and a recovering European market.
Also reporting quarterly results was Daimler, the parent of Mercedes Benz. Thanks to demand for its trucks and buses, the company reported a higher second quarter operating profit. A key barometer, earnings before interest and taxes, topped analyst’s expectation, something that should please shareholders. The company is standing by its previous forecast that full year earnings will top those of last year.
The California Highway Patrol has ordered more than 580 Dodge Charger Pursuit police cars to replace aging vehicles in its fleet. The new cruisers will be delivered over the next two years. It is interesting to note that the majority of the cars will be delivered with the 3.6-liter V-6 engine. It did order a small number of cars with the 5.7-liter HEMI V-8.