In 2Q16, Tesla Motors (TSLA) reported GAAP revenues of $1.3 billion and non-GAAP revenues of $1.6 billion.
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There’s little doubt the next few years will also see losses – Tesla anticipates a continual rise in operating expenses, mainly thanks to the Model 3 – but all remains calm on the surface.
Musk added that he is looking to make the company’s factories look like “alien dreadnoughts”, as he repeated his goal of perfecting “the machine that makes the machine”, referring to how these factories will be churning out the electric vehicles of Tesla Motors. Musk said. “When all of that’s lumped together, it can be confusing”.
Tesla lost a $1.06 a share, the company said.
A significant amount of this capital was made liquid through the $1.7 billion stock sale that took place earlier this year, and through the almost 400,000 Model 3 pre-orders already placed by prospective buyers.
Meanwhile, the company remains on track to deliver about 50,000 Model S and X cars in the first half of 2016. The company blamed “steep production ramp, which resulted in nearly half of Q2 production occurring in the final four weeks of the quarter” for lower-than-expected deliveries (read: It’s All About Production: Tesla ETFs to Ride on Q1 Results). Overall, the company posted a $293,000 loss in the quarter.
Teslas adjusted net loss of $150 million, or $1.06 per share, fell far short of analysts estimate of a 59-cent loss, according to FactSet.
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“We were in production hell for the first six months of this year”, Musk admitted on a conference call with analysts, referring to snafus that included problems with the Model X’s fancy, futuristic “falcon wing” doors. It’s a massive battery factory in Nevada, it’ll cover needs of drivers in the batteries for their Teslas. This is despite Tesla reporting a 33 per cent increase in revenue, curtailed by increasing operating costs, now standing at $513 million. Production on the Model 3, its first mainstream electric auto, and building its battery factory have proven more expensive than anticipated. What will be following the Model 3? But Tesla could end the year just shy of its original delivery target of 80,000 to 90,000 vehicles for 2016 if it delivers 50,000 cars in the second half of 2016. As such, two new prototypes are a cost-effective way for Tesla to keep itself in the headlines and keep interest (both from customers and investors) high.
