4 ms·

Their timeline shifted to almost a year later, but it looks like they did get there.

dragontamer 8y ago
The company is losing $300 MILLION per quarter. Being late by a year on this figure means $1.2 Billion down the drain. That's the important thing. A lot of people are concerned about Tesla's ability to raise money and stay solvent. Tesla will not be profitable, or even cash-flow positive, until enough Model 3 cars are made. Every month Tesla fails to reach a high-degree of production, Telsa loses another $75 million. ----------- The worst part about this rampup effort is how bursty and unreliable it is. Its going to be a one-week hit of 5000. Next week, or even next month, Tesla's sustainted output will be well below 5000, and therefore Tesla will remain unprofitable for another few months at minimum. That's not even factoring in all the costs Musk threw down for these tents (Obviously a temporary arrangement, as a single storm will put those tents out of commission).
- Latteland 8y ago
  They are bursty, and they probably won't keep up their last week of the quarter production, when I'm sure they killed themselves to get to 5k/wk. It doesn't really matter if they were 6k or 4k that last week. If we use the total over the quarter we can see if they were making progress overall, rather than one stupid week when they could do something trick to push up their numbers. But the thing is, they did triple their q1 production, going from 9.7 to 28.5k so they almost trippled, or went from an avg of 9/12 weeks to 28/12 weeks, a clear increase. The newly announced goal is 6k by the end of August. It doesn't matter if through super-human work they get one week that is good, we can just measure their performance by total production, so I'd guess at least 50k would be another significant increase. It won't be 6k*12 weeks in q3. Lost in this is the significant additional revenue they get. They aren't making their cheapest cars yet, so at 50k each, that last week alone was 250 million additional revenue. That 28.5 cars is about 1 billion more in revenue than q1. If they double that again, you are talking real money :-)

The company is losing $300 MILLION per quarter. Being late by a year on this figure means $1.2 Billion down the drain. That's the important thing. A lot of people are concerned about Tesla's ability to raise money and stay solvent. Tesla will not be profitable, or even cash-flow positive, until enough Model 3 cars are made. Every month Tesla fails to reach a high-degree of production, Telsa loses another $75 million. ----------- The worst part about this rampup effort is how bursty and unreliable it is. Its going to be a one-week hit of 5000. Next week, or even next month, Tesla's sustainted output will be well below 5000, and therefore Tesla will remain unprofitable for another few months at minimum. That's not even factoring in all the costs Musk threw down for these tents (Obviously a temporary arrangement, as a single storm will put those tents out of commission).

Latteland 8y ago
They are bursty, and they probably won't keep up their last week of the quarter production, when I'm sure they killed themselves to get to 5k/wk. It doesn't really matter if they were 6k or 4k that last week. If we use the total over the quarter we can see if they were making progress overall, rather than one stupid week when they could do something trick to push up their numbers. But the thing is, they did triple their q1 production, going from 9.7 to 28.5k so they almost trippled, or went from an avg of 9/12 weeks to 28/12 weeks, a clear increase. The newly announced goal is 6k by the end of August. It doesn't matter if through super-human work they get one week that is good, we can just measure their performance by total production, so I'd guess at least 50k would be another significant increase. It won't be 6k*12 weeks in q3. Lost in this is the significant additional revenue they get. They aren't making their cheapest cars yet, so at 50k each, that last week alone was 250 million additional revenue. That 28.5 cars is about 1 billion more in revenue than q1. If they double that again, you are talking real money :-)