DETROIT – Tesla Motors reported a loss of $74.6 million in the third quarter, compared with a loss of $38.5 million in the same period of 2013, reported MLive.

The Palo Alto, Calif.-based electric car maker blamed the larger loss on higher R&D costs and challenges related to a production overhaul for its Model S sedan. It also pushed back shipments of its Model X crossover to the third quarter of 2015 from the second quarter.

Tesla said it is investing in increased production to produce more than 2,000 Model S units per week by the end of 2015. Still, a delay in transitioning the production has caused it to adjust its projected deliveries of the Model S in 2014 to 33,000 units from 35,000.

The company stressed to investors Wednesday afternoon that growing losses in the third quarter are not from a lack of demand for its all-electric cars.

“Being unable to increase production fast enough, not lack of demand, is a fair criticism of Tesla,” the company said in its earnings release. “That said, we expect our annual production will increase by over 50% in 2014, again in 2015 and probably for several years to follow. This is unusual in the car industry.”

Tesla’s revenues jumped to $851.8 million, compared with $430.2 million in the third quarter of 2013.

The company was recently in the spotlight in Michigan because if legislation that Tesla and some law observers say is aimed keeping its unique, direct-to-consumer sales model illegal in the state.

Gov. Rick Snyder last signed a bill his office described as bipartisan legislation that simply strengthens existing law as it pertains to automobile dealership sales in Michigan.

But Tesla says the legislation is a direct effort at shutting it out of Michigan.

HB 5606 was approved 38-0 in the Senate and 106-1 in the House of Representatives after being presented to state legislators as aimed at prohibiting car dealerships in the state from dictating fees they charge customers. With the legislation, dealerships can decide whether or not to charge certain transaction fees.

“This bill does not, as some have claimed, prevent auto manufacturers from selling automobiles directly to consumers at retail in Michigan – because this is already prohibited under Michigan law,” Snyder said in a letter to lawmakers that accompanies the signed bill.

Todd Maron, general counsel for Tesla, said that not only does it further ensure that company cannot sell directly to consumers in the state, it goes so far as to prohibit Tesla from displaying its cars to and communicating with potential customers in Michigan.

“These changes were put in at the last minute with nobody vetting them,” Maron said, adding, “It looks like what they were trying to do is completely shut us out of Michigan.”