Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[JusRelax]

Did IRA credits go into a separate bucket from standard automotive regulatory credits?

 

[Todd Burch]

Can someone please cut the bungee cord…? I am getting dizzy watching the share price…

Um, no. We don't want to plummet, thank you very much.

 

[The Accountant]

13 consecutive quarters of Free Cash Flow . . . despite heavy capital expenditure investments.

 

[bkp_duke]

For anyone concerned about "building inventory":

Vehicles in-transit, test-drive and display vehicles account for a substantive majority of our total days of supply.

 

[kengchang]

Did IRA credits go into a separate bucket from standard automotive regulatory credits?

View attachment 957800

Last Quarter it was used to reduce COGS on Auto Rev

 

[M|S|M MYP]

I am trying to figure out if this is referring to one analyst's expectation of 18.8%? MSM moving the goalposts again as usual.

 

[ByeByeJohnny]

Used car sales. I suspected if there was a surprise to the upside it’d be this.

Is that correct thinking though?

I thought a large part of the used cars Tesla sells are cars they are getting back from leasing? Doesn't that mean they are paying the same for those cars as last quarter but they are getting less when they sell them because used car prices are falling.

 

[JRitt]

I feel like the writing was sort of on the wall for the better-than-expected margin results if one listened hard enough on Battery Day earlier this year. The percentages the team was throwing around when discussing cost reductions, footprint reductions, efficiency increases, etc. were absolutely astounding...50% here, 80% there...I was in disbelief. You just don't ever hear numbers that big on such a short time scale.

Thankfully, the leadership team appears to be obsessively focused on making money when they buy and manufacture, not when they sell the final products. I also believe that the ability to call an audible and instantly adjust to market conditions puts Tesla in a completely unique position vs. legacy auto manufacturers who sell through dealerships (January price cuts are the perfect example). I view the time penalty required to operate through a dealer network as insurmountable in the face of Tesla's agility.

 

[Hiline]

Not just cars. Things like FSD subs go in this bucket.

We bought FSD for our Model 3 for a road trip last month. Just one month, but it adds up.

I doubt FSD subscriptions changed that much Q-Q. Used car sales are different - I saw very quick turnaround of used car inventory in LA this past quarter.

 

[bkp_duke]

I doubt FSD subscriptions changed that much Q-Q. Used car sales are different - I saw very quick turnaround of used car inventory in LA this past quarter.

Disagree. I know a good number of people in my friends group that were "giving FSD a spin".

 

[GrandEnigma]

My final prediction of Q2 is in: EPS of .92 and gross margin of 18.3, let me know how I did ~ MSM Probably

 

[The Accountant]

Energy margins on
We may see a step change here:

 

[JRP3]

Only mentions of Semi were the vehicle capacity chart and forward looking statements. Hopefully more info on the call.

 

[kbM3]

Yep, Austin and Berlin are still ramping up, so they are going to impact margins. This will of course fade away over the next year or so...

AsAustin and Berlin fade away, Mexico and other expansions fade in.

Inefficiencies from under-utilized production lines will not go away this decade. It’s the nature of growing 50%. One half of production lines will always be ramping.

 

[lascavarian]

Tasha & Gene on CNBC now.

Tasha saying Tesla one of the most important AI companies.

 

[Todd Burch]

AsAustin and Berlin fade away, Mexico and other expansions fade in.

Inefficiencies from under-utilized production lines will not go away this decade. It’s the nature of growing 50%. One half of production lines will always be ramping.

Yes, but the margin hits become a smaller piece of the overall pie with each step.

 

[ZsoZso]

non-GAAP income $3.1B, operating cash flow same, but free cash flow only $1B.
I have no clue about accounting, can someone explain in laymen terms where did the other $2.1B go ?

 

[unk45]

Energy margins on
We may see a step change here:
View attachment 957813

This must be primarily from Lathrop ramping up but also in the huge 222% growth with 3.7 GWh delivered.
Since they are continuing to develop other factories also we might well have seen the first signs of maturity for which we've been anxiously waiting since Autobidder and Hornsdale.

 

[bkp_duke]

non-GAAP income $3.1B, operating cash flow same, but free cash flow only $1B.
I have no clue about accounting, can someone explain in laymen terms where did the other $2.1B go ?

Big "money furnaces" as Elon refers to them, known as scaling-up Gigafactories.

 

[Darkfox021]

non-GAAP income $3.1B, operating cash flow same, but free cash flow only $1B.
I have no clue about accounting, can someone explain in laymen terms where did the other $2.1B go ?

Most to capital expenditures
Capital expenditures (2,060)