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Bloomberg article: 20% gross margin and unlikely 5k 2012 target

Discussion in 'News' started by ckessel, Sep 21, 2012.

  1. ckessel

    ckessel Active Member

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    Tesla’s Musk Sidesteps 2012 Model S Goal, Sees 20,000 in 2013 - Businessweek

    20% is a new low for the margin and completely bailed on the 5k for 2012.

     
  2. AnOutsider

    AnOutsider S532 # XS27

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    Sounds like he's just being cautious, but that IS a departure from the previous confidence.
     
  3. ckessel

    ckessel Active Member

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    What was the previous margin goal? I thought it was 30%? I know in an earlier conference call Elon had called 5k a "soft" target for the first time that I'd heard and said what he wanted to be held to was 20k in 2013 and the 30% margin, that those were hard targets. Maybe it was 25%, but I know it was more than 20%.

    If I'm giving benefit of the doubt, I suppose it could be a typo in the article or maybe 20% is the 2012 margin.
     
  4. Todd Burch

    Todd Burch Electron Pilot

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    I remember Musk saying he was hoping to have 25% margins.

    How does 20% compare to other auto manufacturers?

    Gross Profit Margin Rankings

    Based on this, 20% is still pretty decent.
     
  5. Norbert

    Norbert TSLA will win

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  6. Doug_G

    Doug_G Lead Moderator

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    From that very article:

    So Musk still said 25%.
     
  7. ckessel

    ckessel Active Member

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    Yea, saw (heard) that too. Good to see 25% is still the number and the article wasn't correct.
     
  8. Todd Burch

    Todd Burch Electron Pilot

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    So watching the video, Elon is still confident of 25% gross margins.
     
  9. v12 to 12v

    v12 to 12v Active Member

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    After comparing Bloomberg's statements, headlines and video it looks like they are running Elons words through the spin cycle.
     
  10. Grendal

    Grendal Active Member

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    They spiced it up to make it more controversial. She asked him three times if Tesla was going to ship 5000 this year and all three times he said "I'm not legally allowed to say." They spun it to sound like he was lacking in confidence. Knowing Elon there are just too many variables and something can still come up that slows production slightly.

    She was also trying to start something between Virgin Galactic and SpaceX.
     

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