Tesla (TSLA) Reports Impressive Q3 2020 Earnings: Adj $0.76 EPS, $8.77B Revenue, Beats Wall Street Estimate [Live Updates]

by Vincent Y October 21, 2020

Tesla (TSLA) Reports Impressive Q3 2020 Earnings: Adj $0.76 EPS, $8.77B Revenue, Beats Wall Street Estimate [Live Updates]

Image credit to Omead Afshar

Tesla Inc (NASDAQ: TSLA), the California EV maker reported Adj EPS (non-GAAP) of US $0.76 per share, and record revenue of US $8.77 billion for Q3 2020, exceeding Wall Street's average estimate. After Tesla Inc (NASDAQ: TSLA) trading officially closed on October 21, 2020, the company released its Shareholder Letter before its Q3 2020 Earnings Call, which will be hosted today at 5:30 pm Eastern Time. 

HIGHLIGHTS (Live Update)

  • All time record $8.77 Billion in revenue for Q3 2020
  • All time record deliveries in Q3 2020, totaling 139,593 units globally
  • All time record production numbers in Q3 2020, totaling 145,036 units
  • Q3 Operating Margin 9.2% vs 4.1% in same quarter last year 
  • Tesla Says "We have the capacity installed to produce and deliver 500k vehicles this year (2020)
  • Tesla Says Model 3 in Shanghai achieving its designed production rate
  • Tesla Says vehicle average selling price declined slightly as product mix shifts
  • 10,014 units subject to operating lease accounting in Q3 2020
  • Tesla Says energy storage business reached record deployments of 759 MWh in Q3 2020
  • Tesla keeps 2020 annual sales target as 500,000 units
  • Tesla operating income improved in Q3 to a record level of $809M, resulting in a 9.2% operating margin
  • Quarter-end cash and cash equivalents increased by $5.9B QoQ to $14.5B, driven mainly by our recent capital raise of $5.0B (average price of this offering was ~$449/share) combined with free cash flow of $1.4B and partially offset by reduced use of working capital credit lines.
  • Tesla Gigafactory Shanghai: Model 3 production capacity has increased to 250,000 units a year. We (Tesla) reduced the price of Model 3 to 249,900 RMB after incentives, making it the lowest-price premium mid-sized sedan1 in China.
  • Tesla Gigafatory Berlin: Construction of the Gigafactory in Berlin continues to progress rapidly. Buildings are under construction and equipment move-in will start over the coming weeks. At the same time, the Giga Berlin team continues to grow. Production is expected to start in 2021.
  • Automotive gross margin : 27.7%
  • Tesla posts automotive gross margins excluding credits of 23.7% in Q3 2020

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This article is for informational purposes only. You should not construe any such information or other material as investment, financial, or other advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, or offer by Vincent Y, Tesmanian, or any third party service provider to buy or sell any securities or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the securities laws of such jurisdiction.

Vincent Y holds Tesla, Inc., shares (TSLA) and has no plans to buy/sell any positions within 72 hours.

 

 




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