"Quarter-end cash & cash equivalents decreased to $16.1B in Q3, driven mainly by net debt and finance lease repayments of $1.5B, partially offset by free cash flow of $1.3B. Our total debt excluding vehicle and energy product financing has fallen to just $2.1B at the end of Q3."
Tesla here is shaming the major credit rating agencies into an upgrade.
As @garyblack00 argued yesterday, it's preposterous for them to consider leaving Tesla rated below investment grade.
For anyone claiming "Tesla is losing market share all around the world", @MartinViecha has supplied this chart:
$TSLA @elonmusk
The charts on Page 18 tell the growth story nicely:
The 12-trailing month trends are so clear- especially the Adjusted EBITDA (profit before items unrelated to the current quarter or beyond management control):
Here are my forecast variances by Income Statement line item.
My earnings forecast was low by about 2.5% of Actual revenue.
The largest variance was Automotive COS, which came in *extremely favorable* to my expectation. Look for me to adjust that favorably in my next forecast.
The most common question on the forecast thread I posted last night is why I'm not forecasting Q3 earnings to be a lot higher than Q2's, given that the deliveries rose so much.
I created this waterfall chart to show why. It walks from Q2 Actuals to my Q3 forecast, by line item.
Yes, the volumes were up, and yes, I expect the volume increase to drive additional revenue, but the associated costs will also increase with the volume and higher rates Elon warned of recently (chip shortage, ship shortage, expediting and flying parts all over the world, etc.).
SG&A Expenses will also need to go up related to all of the hiring in Berlin, Austin, and elsewhere around the globe not directly related to the factories, so I'm forecasting that "fixed" expense higher by $0.1B.
A discussion of:
“Endless ignorance”
“Lack of understanding”
“A joke”
“Profoundly stupid commentary”
“A complete moron”
Were they apologizing for their past tweets?? (See thread)
No, they were attacking a guy helping people flee Afghanistan. 👀
Here’s a tweet from @economicmanblog in July 2019 (when Tesla was trading at a split-adjusted $50).
Here are some tweets from the self-described “Great” Paul Smith from one year ago.
“Solvency is still a concern for Tesla”
“They can never escape the lack of demand”
“They can never grow out of their declining ASP and sales”
“They can’t grow demand”