(Yicai Global) July 25 -- Tesla plans to put its Shanghai Gigafactory into operation before year-end with a preliminary capacity of 150,000 Model 3 cars per annum.

The California-based electric carmaker hopes to be at full capacity -- 500,000 cars a year -- by June, it said in its second-quarter financial report today.

It will price the domestic made Model 3s from CNY328,000 (USD4,700), on par with imported prices, the firm added, saying the vehicle is well position for the Chinese market after drivers bought 500,000 mid-sized luxury vehicles last year.

On a sourer note, the firm missed expectations in the period, fetching USD6.3 billion in revenue against a USD6.4 billion forecast. It lost USD408 million, a smaller deficit than USD718 million a year earlier, but nearly three times larger than the market predicted. The loss worked out at USD1.12 a share against estimates of 40 US cents.

Its stock [NASDAQ:TSLA] slumped nearly 11 percent to USD235.70 in aftermarket trading. Based on its closing price of USD264.88, it has lost more than 20 percent this year to date.

Tesla will turn a profit in the third quarter, according to the financial report, as it expects sales to soar. It sold 95,200 electric cars in the second quarter, up by nearly 50 percent from the first three months. Price reductions on the Model 3 led to the entry-level vehicle making up the majority of all sales-- about 80 percent.

Editors: Dou Shicong, James Boynton