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Looking at First Quarter 2015 Financial Results Q&A Conference Call 2016

Discussion in 'TSLA Investor Discussions' started by Matias, Jan 25, 2016.

  1. Matias

    Matias Active Member

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    #1 Matias, Jan 25, 2016
    Last edited: Jan 25, 2016
    I looked at Q1 2015 CC and there were interesting things

    From Q1 2015 conference call

    Elon Musk
    "I think we'll pass on sort of answering super-detailed questions about the X ramp. But the thing that really matters is not like when do the first deliveries of the X occur, but rather when do significant deliveries of the X occur. And for the S, we had quite a long ramp from – we're like six months from the very first deliveries to a significant volume. We're trying to compress that to maybe like two months or three months at most. I'll cut that in half or more for the X. And we want to make sure we're really delivering a product that has been thoroughly validated in hot and cold weather and through millions of miles of travel and everything."

    Concidering, that it has now been almost four months since launch Elon's "two months or three months at most" doesn't hold.




    That CC gives also other priceless quotes;

    Deepak Ahuja - Chief Financial Officer
    We do expect to be free cash flow positive in Q4. That doesn't change. And as we go along, clearly, we are optimizing for efficiency, which results in increase of our finished goods inventory. That makes sense for us to then establish some asset pipelines or credit which is backed by our finished goods inventory or raw materials. So we'll take those actions to make sure we have a solid balance sheet.
    Elon Reeve Musk - Chairman & Chief Executive Officer
    Yes. Things are looking pretty good for Q4. I think it's hard to predict full quarter exactly because that whole quarterly boundary and where does the exponential ramp of production fall exactly on that side of Q4 boundary. But I think it's extremely likely that cash flow is really good at the end of Q4.
     
  2. aznt1217

    aznt1217 Active Member

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    I believe these were addressed in one of the CC's. What explained the ramp up and delay in CF + was that they re-prioritized things and decided to spend more on the Gigafactory to speed things up/increase scale/scope.

    It's business, things change.
     
  3. stealthology

    stealthology Member

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    Hmm, I don't recall Tesla talking about delaying their ramp up for X. Rampage up could be next week for all we know. Or next quarter..
     
  4. aznt1217

    aznt1217 Active Member

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    I was referring to the delay in Cash flow positive. The Cash flow positive piece had two things -- the slowing of spending on the GF (more stabilized) AND the ramp up of Model X.
     
  5. AmpedRealtor

    AmpedRealtor Active Member

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    It seems that most of Tesla's long term predictions aren't worth much.
     
  6. anticitizen13.7

    anticitizen13.7 Enemy of the Status Quo

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    This shouldn't be news to anyone:wink: From the Roadster to Model S and Autopilot, Tesla has almost never been timely. This is why I tell people not to mess with short term options on TSLA, because the difficulty of assessing when the company will reach certain milestones and then reap the benefit of those milestones is just too uncertain.
     

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