Tesla (TSLA) Misses Q3 EPS by 62c, Sales In-Line; Model 3 Continues to See Delays

November 1, 2017 4:19 PM EDT

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Tesla (NASDAQ: TSLA) reported Q3 EPS of ($2.92), $0.62 worse than the analyst estimate of ($2.30). Revenue for the quarter came in at $2.98 billion versus the consensus estimate of $2.94 billion.

On pace for 100,000 Model S and X deliveries in 2017. Model 3 production is steadily increasing but the company is still seeing delays. The company produced 260 Model 3 vehicles in the quarter versus an estimate of 1,500.

"While we continue to make significant progress each week in fixing Model 3 bottlenecks, the nature of manufacturing challenges during a ramp such as this makes it difficult to predict exactly how long it will take for all bottlenecks to be cleared or when new ones will appear. Based on what we know now, we currently expect to achieve a production rate of 5,000 Model 3 vehicles per week by late Q1 2018, recognizing that our production growth rate is like a stepped exponential, so there can be large forward jumps from one week to the next. We will provide an update when we announce Q4 production and delivery numbers in the first few days of January. With respect to the timing for producing 10,000 units per week, it has always been our intention to implement that capacity addition after we have achieved a 5,000 per week run rate. That will enable us to make the next generation of automation even better while making our capex spend significantly more efficient."

For earnings history and earnings-related data on Tesla (TSLA) click here.

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