More cash will be burned on setting up the proper infrastructure for the Model 3, Tesla's first mass-produced vehicle.
The results include the effect of Tesla's acquisition of SolarCity effective beginning November 21 through December 31, 2016. Analysts had been looking for revenue of $2.61 billion and a loss of $0.77 per share.
Despite a Yahoo Business March 30 average quarterly earnings estimate of a loss of $0.82, or $133 million, by the 17 Wall Street analysts that cover the Silicon Valley icon, Tesla booked a stunning loss of $330.3 million, or $2.04-per-share. Revenues grew to $2.7 billion, up from the $1.1 billion posted during the same period a year ago. He said Tesla expects to launch the Model Y sport/utility vehicle based off the Model 3 by 2020, or perhaps late 2019, and that the semi-truck prototype Tesla plans to unveil this fall will use the Model 3's motor and other components, to further lower costs. The company is also expected to reveal the final production version of the Model 3 in July.
A part of its Model 3 launch preparation, Tesla said it plans to add almost 100 retail, delivery and service locations globally, representing a 30% increase in facilities. This is not surprising as Tesla is investing heavily on Model 3 production, its charging network, and massive battery factory in Sparks, Nev.
Tesla said it was planning to add 100 new retail, delivery and service locations across the world.
Microsoft takes on Apple with new $999 Surface Laptop
The Surface Laptop is a device aimed at college students and other prospective buyers looking for a Surface-branded laptop . Microsoft launched a direct competition to Apple's MacBook Air and MacBook Pro (lower version) at its EDU event yesterday.
Tesla previously announced that it will double the number of "superchargers" available to owners.
Electric auto maker Tesla's first-quarter loss widened 17 percent to $330 million as it ramped up spending ahead of the launch of its Model 3 sedan and its growing solar energy business.
Tesla, Inc. (NASDAQ:TSLA) was up +1.76% ($5.44) to $314.07 and showed a volume of 4.47 mln shares. Cash burn was the second most in the company's history, behind only the final period of previous year. Hope that Tesla is on its way to becoming a mass-market EV maker cranking out a million-plus cars per year at high margins, and fear that the company won't make good on Elon Musk's very ambitious promises. The Silicon Valley-based automaker last month became the most valuable US carmaker by market capitalization, pulling ahead of Detroit's auto heavyweights Ford Motor Co and General Motors Co.
"All eyes are on the Model 3, and reaffirming the July guidance is great", said Joe Dennison, associate portfolio manager of Zevenbergen Capital Investments in Seattle.
"Either Model S demand is getting hit by a pause in front of the Model 3 (less negative) or the Model 3 reservation list is inflated with orders that will not convert when the true identity of the vehicle is discovered (more negative)", Erickson wrote in a note.
US tells North Korea: We don't want a fight, don't start one
Kim Jong-un, the average window for a North Korean provocation bracketed around all ROK elections is 6.5 days (about 1 week). After showing a photo of Kim Jong-un as a young teenage boy, Kimmel said: "This is insane ".
Tesla shares fell less than 1 percent to $308.60 in after-hours trading.
Breitbart News noted that Tesla, Inc.
Model 3. Image source: Tesla.
"For the time being, investors remain hypnotized by Tesla's CEO", Einhorn said.
Judge could rule soon to let beer stores keep licenses
Bob Batt of Omaha, who chairs the liquor commission, said he was disappointed but respected the judge's ruling. Brewer says he doesn't want to be too judgmental about the ruling. "As a Nebraskan I am troubled.