Thursday, May 8, 2014

Tesla reports net loss of $50 million in Q1

Tesla Motors said on Wednesday after the market close that it lost $50 million, or 40 cents a share, in the first quarter on a non-adjusted basis.

Tesla also said that using non-GAAP information that excludes some items, such as stock-based compensation and non-cash interest expense, it earned $17 million, or 12 cents a share on an adjusted basis, beating analysts' estimates of 6 cents a share.

Tesla shares closed down $5.93, or 2.9%, at $201.35 in regular trading before the report and were down $14.84, or 7.4%, at $186.51 in after-hours trading following the report.

Adjusted revenue was $713 million for the quarter, up 27% from $621 million a year ago. The company says it generated $61 million in cash flow during the quarter.

Tesla said it made 7,535 of its Model S sedans during the quarter, beating its own projection of 7,400. And it estimated it would build "8,500 to 9,000" in the second quarter and deliver 7,500. It has estimated that Model S deliveries will total 35,000 this year.

The added production was important because Tesla has indicated it has had trouble filling orders for its cars in Europe, and it just began sales last month in China.

"We plan to expand in China as fast as possible because we believe the country could be one of our largest markets," said Tesla CEO Elon Musk in a note to investors announcing the earnings. He said Shanghai shortly will get its first "supercharger station" — the free high-speed recharging stations that Tesla is placing on key highway corridors in the U.S.

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