Tesla cash flow




Tesla cash flow

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  • Updated annual cash flow statement for Tesla Inc. - including TSLA operating expenses, operating cash flow, net cash flow, cash dividends, other funds and.

    Updated quarterly cash flow statement for Tesla Inc. - including TSLA operating expenses, operating cash flow, net cash flow, cash dividends, other funds and.

    12 hours ago At long last, Tesla reported positive free cash flow of $ million, smashing expectations of a $ million cash burn. In fact this was the most.

    Tesla cash flow

    Tesla cash flow

    GeekWire Weekly - Most-read stories of the week, delivered Sunday. However, any such window-dressed quarter would almost certainly be unrepeatable - and analysts know it. He repeated earlier vows that Tesla will be profitable and cash-flow positive from here on out. Whether or not Tesla succeeds in this transition will determine whether it will be able to remain profitable.

    Tesla cash flow

    Tesla cash flow

    Tesla cash flow

    Tesla cash flow

    Tesla cash flow

    Tesla shows a profit in ‘historic’ quarterly report – GeekWire

    CEO Elon Musk has been beating the drum of rapidly approaching profitability, claiming that Tesla will be cash flow positive and profitable from Q3 Market reaction to the latest effort has been extremely negative, indicating serious financial weakness. There is a growing possibility that something is precluding Tesla from raising capital; if it cannot do so, then the growth story comes apart entirely.

    Tesla TSLA has been burning through cash since its founding. But it kicked that burn into high-gear in when it began attempting to scale production of its first mass-market product, the Model 3 sedan. Most analysts remain highly skeptical of this pronouncement, but it is one Musk and the company have continued to repeat. The embattled CEO appears committed to the idea that Tesla can get to profitability by Q3 and that it will not need to tap capital markets again.

    Tesla cash flow

    But, as we highlighted in a previous research note , this outlook seems rather fanciful:. What is so interesting is that Musk seems steadfastly opposed to the idea of another capital raise.

    He first made this point in a tweet, and reiterated it during the Q1 earnings call. Repeating it once more at the annual meeting , it seems that Tesla is shunning the capital markets - at least for now. But the company desperately needs capital.

    Tesla cash flow

    Musk has recently shifted focus to profitability and becoming sustainable. In leaked internal emails, it was revealed that he was taking extreme measures in an attempt to curb cost overruns. Yet the company has done little to pare back its bloated workforce, and is still set to embark on massive capital expenditures. At the annual meeting, Musk revealed the intention of building two new Gigafactories, including one in Shanghai. While this was music to the ears of Tesla bulls, the question remains: Add to that the need for production facilities for the Model Y and Semi, as well as Musk's recent statement that it would be increasing the SuperCharger footprint by an order of magnitude, and Tesla is facing down a multi-billion-dollar deficit that can only be filled by external cash injections.

    Tesla has been pursuing this profitability goal by a number of means. Most recently, it has apparently been trying to squeeze cash out of suppliers. The Wall Street Journal broke the story on July 23rd that Tesla had asked suppliers to return cash going back as far as in order to support its efforts to become profitable:.

    The Wall Street Journal reported Sunday that Tesla has asked some suppliers to refund a portion of what Tesla has paid them.

    Tesla cash flow

    One supply manager quoted the auto maker as saying the refunds are "essential to Tesla's continued operation. Elon Musk's tweet response did little to alleviate worries, though shares did recover somewhat when Tesla issued an official statement on the matter:. Negotiation is a standard part of the procurement process, and now that we're in a stronger position with Model 3 production ramping, it is a good time to improve our competitive advantage in this area… We asked fewer than 10 suppliers for a reduction in total capex project spend for long-term projects that began in but are still not complete, and any changes with these suppliers would improve our future cash flows, but not impact our ability to achieve profitability in Q3.

    The remainder of our discussions with suppliers are entirely focused on future parts price and design or process changes that will help us lower fundamental costs rather than prior period adjustments of capex projects. In Tesla's telling the scale of the clawback was much more limited - and it was not trying to squeeze actual cash out of the few vendors with ongoing projects dating back to It also claimed, truthfully, that auto companies frequently work to negotiate better forward-looking contracts that lower costs and put pressure on suppliers.

    Why Tesla Is Burning Through So Much Cash



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