Tesla Inc (NASDAQ: TSLA) has reported the adjusted loss per share in the fourth quarter 2016 but delivered an adjusted revenue growth of $2.28 billion in the fourth quarter 2016, beating the analysts’ estimates for revenue of $2.2 billion. As a result, the stock surged over 2% in the pre-market session on Feb 23rd, 2017.
These were the first set to include recently-acquired SolarCity Corp, though the numbers only include performance since the merger, they had little effect on the totals. In 2016, SolarCity’s total installations were about 800 MW, well below the 900 MW it had guided to only three months ago and is below the original 2016 guidance of more than 1,200 MW.
Tesla has assured investors that it is on schedule to produce its long-awaited mid-market Model 3 electric car. The new mid-market Model 3 is set for initial production in July and volume production by September. TSLA has delivered little less of 80,000 cars last year, while Ford delivered more than 6 million.
TSLA has begun at its Gigafactory on battery packs for its cars and for electrical storage at homes, businesses, and utilities. TSLA is expected to finalize locations for Gigafactories 3, 4 and possibly 5 soon. The company expects to produce 500,000 vehicles annually by the end of 2018 and 1 million vehicles by 2020. Small buses, trucks and a small SUV may be added to the mix of products portfolio.
TSLA’s capex hit its highest quarterly level ever in the fourth quarter of 2016. TSLA expects to invest $2-$2.5 billion ahead of the production of Model 3 launching. Therefore the capex in the first half of 2017 is projected to be more than the combined total for the past six quarters.
Cash increased by $300 million, from $3.1 billion at the end of the third quarter, to $3.4 billion in the fourth quarter.
For the full year, Tesla has lost $773 million on $7 billion in revenue, compared with a loss of $887 million on $4.04 billion in revenue in 2015
Meanwhile, Jason Wheeler, appointed CFO just over a year ago, would be leaving the company, only to be replaced by Deepak Ahuja, the man Wheeler had originally replaced himself.
Tesla stock has risen 64.19% in the last one year (source: Google Finance) and rallied over 11.8% in the last four weeks only (as of Feb 23rd, 2017; Source: Google finance).