Revenue US$3.4b, but wide losses: Tesla Q1 report

Tesla’s first quarter 2018 financial results show a record US$3.4 billion revenue but still wide losses.

The share losses are US$4.19 per share on generally accepted accounting principles (GAAP) and US$3.35 per share non-GAAP, Electrek reports.

The losses are due to large capital expenditure caused by the slow start of Model 3 production.

The results appear to have helped in the market with Tesla’s stock up by about 1% after-an hour’s trading, Electrek says.

The results compare to revenue of US$3.3b and a loss of US$3.04 per share (non-GAAP) during the previous quarter.

Tesla Energy made the difference in Q1 to help Tesla beat revenue expectations with over US$400 million in revenue during the quarter. That was due to a 161% increase in energy storage deployment from Q4 2017 to 373mWh – largely due to Tesla accounting for the large South Australian project, Electrek says.

Tesla’s cash balance dropped significantly during the first quarter, but the electric automaker still had US$2.7 billion in cash.

The company reiterates its expectation of net income and positive cash flow in Q3 and Q4 2018, but it still dependent on achieving a weekly 5000 unit Model 3 production rate, expected by the end of the quarter.

Tesla says its Model 3 is about to become the best-selling mid-size premium sedan in the US.