Tesla Delivers Record Production, Gigafactory 3 Making Cars, Model Y 6 Months Early
Tesla just issued its Q3 2019 earnings report and the numbers are looking good across the board for the Silicon Valley electric vehicle builder.
Tesla just issued its Q3 2019 earnings report and the numbers are looking good across the board for the Silicon Valley electric vehicle builder.
Tesla’s continued positive cash flow and $5.3 billion in cash, even while quickly expanding both its product line and its manufacturing capabilities, and growing its leasing business, puts to rest any short-term worries on whether Tesla [TSLA] can sustain its aggressive growth.
There are a slew of articles right now telling wildly different stories about what we should expect when Tesla reports its earnings on October 23rd after the bell. Articles have ranged from negative spin to positive spin. The negatives mostly seem centered around wondering if Tesla’s revenues may have gone down as the product mix became more Model 3-centric, and the positives are about how many analysts have been revising their earnings expectation up lately.
One year ago this week, I published a story about 8 “impossible” goals that Tesla had achieved. The idea actually stemmed from a simple joke I sent Elon Musk. I thought that was so funny (the joke somewhat, sending it to Elon Musk more so) that it inspired a full article. In fact, it and a few other pieces inspired a whole “Tesla flashbacks” series. The fact is, on any given day, there are various “concerns” about Tesla’s future from Tesla short sellers and other people who benefit if Tesla fails, but when you look back on those after a year or more, it’s clear they were typically nonsense that didn’t warrant a minute of anyone’s time.
From the mud field to the plug, there is a story of growth, determination, and persistence despite opposition. The plug is when the first car built at Tesla’s Shanghai gigafactory plugs in, and it symbolizes success and another major milestone achieved. The message is clear, keep on doing and ignore the haters.
Tesla has begun building Phase 2 of Gigafactory 3 in Shanghai. Reports suggest that part of the factory will be devoted to making batteries.
From the start of Tesla Model 3 production until about a year ago, the most important, nearly daily, Tesla news was about the weekly production numbers. We visited the Bloomberg tracker regularly to stay abreast of the news, and the FUD. And then Tesla started producing over 4,000 vehicles per week regularly and the interest disappeared. Tesla finished the marathon many doubted it could endure for more than a mile, two at the most. Those were fun times.
The most popular stories on CleanTechnica this past week were led by a McDonald’s story for the first time (or perhaps second — I remember a very popular McDonald’s story here in 2010). The second and third most popular stories were both about total cost of ownership comparisons — between the Tesla Model 3 and Toyota Camry and then the Chevy Bolt and Tesla Model 3 and Toyota Camry. Next in line were videos of Tesla Smart Summon (which went a bit viral on what the kids call “the Internet”) and a couple of pieces on how early concerns about the Model 3 and Gigafactory 3 became irrelevant.
We reported yesterday that Tesla was ending Model 3 Standard Range shipments from the US to China because it was starting to produce the base Model 3 trim in its new (and still under construction) Shanghai gigafactory, “Gigafactory 3.” It may surprise even Tesla optimists that the company was able to go from no construction at all to Model 3 production in such a rapid time, but it surely surprises Tesla skeptics the most.
Tesla’s recent job fair in China is just a reflection of how popular and successful Tesla is worldwide, and how much it is helping both the U.S. and Chinese economies as hiring continues to soar. With booming business, Tesla is on yet another hiring spree.