- Tesla on Wednesday reported second-quarter losses that were greater than Wall Street's expectations.
- Shares dipped immediately after the release, before rallying back into the green in after-hours trading.
- Revenues beat expectations, and cash burn slowed.
- Follow Tesla's stock price in real-time here.
Shares of Tesla rose as much as 3.8% in after-hours trading Wednesday following the electric car maker's second-quarter earnings report that showed a greater loss than what Wall Street had expected, on better-than-anticipated revenues.
Here are the key numbers:
Earnings: -$3.06 per share (-$2.90 expected)
Revenue: $4.0 billion ($3.97 expected)
Cash burn — a key metric for Tesla as it seeks to become profitable this year — was $739.5 million, down slightly from $745.3 million last quarter.
"It’s fair to say that no production ramp of any other product has been as closely watched and debated as that of Model 3. We are proud of our team for producing roughly 7,000 Model 3, Model S and Model X vehicles during the last week of June," Elon Musk, Tesla's founder and chief executive, said in a letter to shareholders.
"We also want to thank all of our reservation holders who have waited patiently and who have been supportive of our mission. While we faced multiple obstacles during this ramp, our team worked hard to find solutions, and in the end, it was all worth it."
The company maintains that if it can keep up this production rate of 7,000 vehicles per week (or 350,000 per year) it can become profitable this year, as previously forecast.
On a conference call with analysts, Musk apologized to a Bernstein analyst, Antonio Sacconaghi , and others who he interrupted on Tesla's previous earnings call in May, calling their questions "boring" and "boneheaded."
Musk also outlined an autopilot "breakthrough" for the semi-autonomous driving software. He said some customers will begin receiving the update in around four months and all Tesla customers who purchased Autopilot would receive the update in September. He said the update would "certainly include some significant advancements in autonomy."
Tesla gained 1.1% in trading Wednesday and was down 5.8% since the beginning of 2018 before the earnings release.
Markets Insider
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