Tesla Inc. (NASDAQ:TSLA) Q3 2018 Earnings Conference Call October 24, 2018 6:30 PM ET
Martin Viecha – Senior Director of Investor Relations
Elon Musk – Chairman, Product Architect and Chief Executive Officer
Madan Gopal – Functional Lead and Principal Safety Engineer
Stuart Bowers – Vice President of Engineering
Peter Bannon – Director of Hardware Engineering
Andrej Karpathy – Director of Artificial Intelligence and Autopilot Vision
Laurie Shelby – Vice President of Environmental, Health, and Safety
JB Straubel – Chief Technical Officer
Deepak Ahuja – Chief Financial Officer
Jerome Guillen – Vice President of Programs
Dan Galves – Wolfe Research, LLC
Pierre Ferragu – New Street Research LLP
Romit Shah – Nomura Securities Co.
George Galliers – Evercore ISI
Maynard Um – Macquarie Group
Adam Jonas – Morgan Stanley
Toni Sacconaghi – Sanford C. Bernstein & Co.
James Albertine – Consumer Edge Research, LLC
Phil LeBeau – CNBC
Good day, ladies and gentlemen, and welcome to the Tesla Q3 2018 Financial Results and Q&A Webcast. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session, and instructions will follow at that time. [Operator Instructions] As a reminder, this conference is being recorded.
I would now like to introduce your host for today’s conference, Mr. Martin Viecha, Senior Director of Investor Relations. Mr. Viecha, you may begin.
Martin Viecha
Thank you, Sherry, and good afternoon, everyone. Welcome to Tesla’s third quarter 2018 Q&A webcast. I’m joined today by Elon Musk, J.B. Straubel, Deepak Ahuja, and a number of other executives. Our Q3 results were announced at about 1:00 PM Pacific Time in the update letter we published at the same link as this webcast.
During this call, we will discuss our business outlook and make forward-looking statements. These comments are based on our predictions and expectations as of today. Actual events or results could differ materially due to a number of risks and uncertainties, including those mentioned in our most recent filings with the SEC. During the question-and-answer portions of today’s call, please limit yourself to one question and one follow-up. [Operator Instructions]
But before we jump into Q&A, Elon has some opening remarks. Elon?
Elon Musk
Thanks, Martin. So I’ll make some opening remarks, then we’re going to talk about vehicle safety, Autopilot and battery safety. And we have a number of people from Tesla here to elaborate on that. I think there is just a lot going on that you would find interesting.
But I want to start by thanking all of our customers, employees and shareholders. This was an incredibly stark quarter for Tesla. Model 3 production stabilized. We delivered a total of 84,000 vehicles globally, which is more than 80% of the vehicles that we delivered in all of 2017. In fact, we delivered more cars in this quarter than we did in all of 2016, in a single quarter.
Model 3 became the best-selling car in U.S. in terms of revenue and the 5th best-selling car in terms of volume. We saw higher revenues and significantly better profitability in our Energy business. I mean, but I think with solar, it may have been the best quarter ever for solar.
We achieved GAAP net income of over $300 million, increased cash and equivalents by $731 million and achieved a greater than 20% gross margin for Model 3. And moreover, we expect to again have positive net income and cash flow in Q4. And I believe our aspirations I think it will be for all quarters going forward. I think we can actually be positive cash flow and profitable for all quarters going forward, leaving aside quarters where we may need to do a significant repayment, for example in Q1 next year. But I think even in Q1, I think we can be approximately flat in cash flow by end of quarter.
tesla car insurance rates, tesla autopilot machine learning, tesla cancer treatment, tesla bumper to bumper warranty, tesla buys solar city, tesla buy stock, tesla 0 apr, tesla automated factory, tesla automation factory, tesla car interior



Please enter your comment!
Please enter your name here