Shares in Silicon Valley electric car manufacturer Tesla rose recently after it announced a boost in production of its cheaper Model 3 cars in the first quarter.

The company said it had “by far the most productive quarter in Tesla history” after it built 34,494 vehicles, 9,766 of which were Model 3s.

“Tesla’s profitability is reliant on increasing its Model 3 production. Its shares had fallen amid speculation over its finances and a fatal car crash in the USA.”

The firm said in a statement it had doubled its weekly Model 3 production rate making 2,020 vehicles in the last week of March.

“Tesla continues to target a production rate of about 5,000 units per week in about three months, laying the groundwork for the third quarter to have our long-sought ideal combination of high volume, good gross margin and strong positive operating cash flow.

“As a result, Tesla does not require an equity or debt raise this year, apart from standard credit lines.”

The production numbers, although short of Tesla’s own target of 2,500 per week for the end of March, are far higher than the 793 Model 3s built in the final week of last year.

Tesla says it has about 500,000 advance reservations from customers for the vehicle, adding that order cancellations have nearly always been down to delays in production and available options.