2014 Q3 Earnings Report and Conference call discussion thread

[Zzzz...]

I love how Tesla do Q&A- less than 1 min disclaimer and then Q&A starts!

 

[Johan]

I think you underestimate how difficult the art of manufacturing is. They are steadily increasing production while at the same time adding the feature of dual motors, sensors and during 2015 adding in Model X. That is difficult! They still expect to exit 2015 with a 2000/week run rate. That is nothing short of amazing.

Elon said in his MIT interview recently: "I wish more bright people got in to manufacturing. Building one of something is easy. Building hundreds is maybe 10 times more difficult when you want to maintain quality. If you think building the machine is important than how important isn't building the machine that's building the machine?"

Elon is saying exactly this at this very moment, during the Conference call.

... And again...

 

[NannerAirCraft]

Order button is back up. It seems they've removed the dual motor option for 60kwh cars and you can no longer have the p85 performance without dual motors and the range estimate is at 285 miles instead of 275. Also dual motor for the reg p85 is now $5000.

 

[hockeythug]

This thread answered but a single word. "No" :smile:

http://www.teslamotorsclub.com/showthread.php/37646-Should-Tesla-publish-monthly-sales-numbers

 

[techmaven]

Boom. Elon "Shutdown" Musk.

Monthly sales data: No.
Resellers in China: No. Thanks for letting us know, we will have those removed.

 

[Johan]

Interesting question about hedging with regards to Euro and Yen:

Deepak answers no hedging. Elon answers: "Product hedging" - natural hedge by selling and delivering cars in the EU and Japan. Will have to increase price in EU due to stronger Euro v.s. USD.

 

[Tasmanian Devil]

Elon Musk just elaborated again (and again and again) that demand is not an issue and that they could pull other triggers (ad for example) to even increase it. The main difference to other car companies is simply that at this point EVERY car Tesla produces is simply ripped out of their hands. For other car companies thats just not the case so demand is a factor for them. I hope this will sink in with the press someday.

 

[Papafox]

Elon just gave away that something special is taking place with second row of seats in X. Rotating on door opening for the moms with kids and car seats I suspect.

 

[Johan]

Regarding battery "breakthroughs":

Elon: "If anyone has a better cell, please send it to us. Don't send us a powerpoint. Send us a working cell. The battery industry has the highest BS-factor of any industry I have encountered"

 

[FluxCap]

Call is live:
Tesla - Events Presentations

This just in, again: DEMAND IS NOT A PROBLEM. :biggrin:

70k Model S deliveries next year net of cancellations...that would be a significant increase...

Lovallo: CAN I HAS BEAR ARGUMENT DATA?
Elon: "Um, no."

"Send me one working battery cell, not a powerpoint." - Nice.

 

[mershaw2001]

"if we can't get a 30% reduction in cost, someone should shoot us". LOL

 

[tdiggity]

Order button is back up. It seems they've removed the dual motor option for 60kwh cars and you can no longer have the p85 performance without dual motors and the range estimate is at 285 miles instead of 275. Also dual motor for the reg p85 is now $5000.

Interesting. I would think the 60 Dual would be popular.

 

[Johan]

3rd quarter production was about 7200 which was about 2000 cars less than they had planned for.

 

[Johan]

Interesting. I would think the 60 Dual would be popular.

Probably not good enough margin. When demand is no issue you have the luxury of cutting it out.

 

[FANGO]

"if we can't get a 30% reduction in cost, someone should shoot us". LOL

This is actually a surprise to me. I figured the 30% would be due to technology improvements, and that the economies of scale were supposed to go on top of that. They're now saying that location and economies of scale will account for 30%, with technology on top of that. I expect that there will be 30% cost improvement between S and 3 due to technology, so that leaves us at roughly half cost for batteries at launch of 3 as compared to launch of S...which is a fair bit of acceleration above the standard 7-10% I (and Tesla) expect. Interesting.

 

[EarlyAdopter]

Elon just gave away that something special is taking place with second row of seats in X. Rotating on door opening for the moms with kids and car seats I suspect.

I've speculated they could even have the second row rotate to be rear facing, to improve safety for children.

 

[austinEV]

if we all contribute $10, could we form "TMC and associates", a brokerage firm with $200 in investments and be able to ask questions on the call?

 

[Rifleman]

if we all contribute $10, could we form "TMC and associates", a brokerage firm with $200 in investments and be able to ask questions on the call?

I'm in on that

 

[The Blue Owl]

Analysts before: "U.S. deliveries dropped significantly! North-American demand is collapsing!!"

Analysts today: "U.S. deliveries increased significantly! International demand is collapsing!!"

 

[Benz]

"Model X production of 2015 is basically sold out"