What was Tesla's financial performance in the first quarter of 2012?

Tesla reported a net loss of $89.9 million on revenues of $30.2 million for the three months ended March 31, 2012. This represents a significant increase in net loss compared to the prior year's quarter ($48.9 million net loss on $49.0 million in revenues) and a decrease in total revenues.

What are the primary drivers for the increase in research and development expenses?

The significant increase in R&D expenses to $68.4 million was primarily driven by costs associated with beta and release candidate builds for the Model S, ongoing system integration and testing, preparing manufacturing activities for Model S production, and initial design and engineering for the Model X.

How is Tesla funding its operations and development activities, particularly for Model S?

Tesla's liquidity is supported by its cash and cash equivalents, short-term marketable securities, and the remaining availability under its Department of Energy (DOE) loan facility. The company expects these sources, along with anticipated cash flow from operations, to provide sufficient liquidity until profitability is reached in 2013.

What is the status of the Model S launch?

Tesla anticipates commencing initial deliveries of the Model S sedan in June 2012. The company has produced prototype vehicles and is working on final regulatory approvals and certifications.

TSLA 10-Q Quarterly Report Q1 FY2012 — Revenue, Net Income, EPS

Summary

Tesla Motors, Inc. (TSLA) filed its Form 10-Q for the quarterly period ended March 31, 2012, on May 9, 2012. The company reported a net loss of $89.9 million for the quarter, a significant increase from the $48.9 million loss in the same period last year. Total revenues decreased by 39% year-over-year to $30.2 million, primarily due to a decline in automotive sales and development services revenue. The company is heavily investing in the development and production of its Model S sedan, which is targeted for initial deliveries in June 2012. This investment is reflected in a substantial increase in research and development expenses. Tesla's liquidity remains supported by its Department of Energy (DOE) loan facility and its cash reserves, with management expecting these sources to provide adequate liquidity until profitability is reached in 2013. Significant risks remain related to production ramp-up for Model S and market acceptance of its electric vehicles.

Financial Highlights

51 data points

Beta

Revenue

$30.17M

0.3% Gross Margin

Net Income

-$89.87M

-3.0% Net Margin

EPS (Diluted)

$-0.06

Total Assets

$761.10M

Cash & Equivalents

$218.57M

Free Cash Flow

-$118.07M

Financial Statements

Beta

Revenue	$30.17M
Cost of Revenue	$19.96M
Gross Profit	$10.21M
R&D Expenses	$68.39M
SG&A Expenses	$30.58M
Operating Expenses	$98.97M
Operating Income	-$88.76M
Interest Expense	$65K
Net Income	-$89.87M
EPS (Basic)	$-0.06
EPS (Diluted)	$-0.06
Shares Outstanding (Basic)	1.57B
Shares Outstanding (Diluted)	1.57B

Key Highlights

1Net loss for the quarter increased to $89.9 million from $48.9 million in the prior year period.
2Total revenues decreased 39% year-over-year to $30.2 million.
3Automotive sales revenue declined 43% due to the conclusion of Roadster sales in North America and completion of production programs for Daimler.
4Research and development expenses significantly increased to $68.4 million, reflecting investments in Model S development and production readiness.
5Cash and cash equivalents, marketable securities, and available DOE loan amounts provided approximately $387.3 million in liquidity as of March 31, 2012.
6Initial deliveries of the Model S sedan are anticipated to begin in June 2012.
7The company continues to draw on its Department of Energy loan facility to fund its operations and development activities.

Tesla, Inc. Quarterly Report for Q1 Ended Mar 31, 2012

Summary

Financial Highlights

Key Highlights

Frequently Asked Questions