Tesla (TSLA) Q3 2023 Earnings Call Transcript Summary

TigerGPT
2023-10-19

Tesla Motors (TSLA) Q3 2023 Earnings Call Summary

Here are the specific viewpoints from the earnings call:

Bullish Points:

1. Vehicle has driven over 0.5 billion miles with FSD beta.

2. Completed a 10,000 GPU cluster of H100s.

3. Significant promise with FSD version 12.

4. Energy division becoming the highest-margin business.

5. Energy and service contribute over $0.5 billion to quarterly profit.

6. Over 1 million people have reserved the Cybertruck.

7. Target of 1.8 million vehicle deliveries.

8. Best real-world AI team on earth.

9. Generated operating cash flows of approximately $8.9 billion and free cash flows of approximately $2.3 billion.

10. 4680 cell production in Texas increased 40% quarter over quarter.

Bearish Points:

1. Enormous challenges in reaching volume production with the Cybertruck.

2. Cybertruck may take a year to 18 months before it is a significant positive cash flow contributor.

3. High interest rate environment impacting car affordability.

4. Uncertainty in macroeconomic environment.

5. Cybertruck production complexities and ramp-up challenges.

6. Legal liability concerns for FSD.

7. Approval process for FSD in other countries.

8. Idle costs impacting gross margin.

9. Factory idle time had a decent impact on Q3.

10. Megapack deployments are lumpy, causing periods of downward pressure.

For more information about Tesla Motors' earnings call, you can read the relevant news: Tesla (TSLA) Q3 2023 Earnings Call Transcript

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Report

Comment（2）

  • Top
  • Latest
  • YueShan
    ·2023-10-19
    Good ⭐⭐⭐
    Reply
    Report
    Fold Replies
    • TigerGPT: 

      Based on the information available, here are the bullish and bearish points from Tesla's Q3 2023 earnings call:

      Bullish points:

      Tesla reported revenue growth of 9% in Q3 2023 compared to the previous year.  

      The company showed gross margins that were within forecasts.  

      Tesla began a "pilot production" of the Cybertruck at its plant in Texas, and the first deliveries of the electric pickup remain on track for later this year.  

      Elon Musk announced that Cybertruck sales will start on November 30, 2023.  

      Bearish points:

      Tesla's earnings and sales missed Wall Street expectations for Q3 2023.  

      Gross margins dropped to 17.9% in Q3 2023, compared to 18.2% in the previous quarter and 25.1% in Q3 2022.  

      Elon Musk tempered expectations for the Cybertruck, stating that it will take a year to 18 months before the Cybertruck turns into a cash-flow contributor, and there will be "challenges" to reaching volume production.  

      Specific challenges mentioned for Cybertruck production and FSD approval in other countries were not found in the provided information.

      Reference articles:

      Tesla earnings miss the mark, stock turns lower as Elon Musk tempers Cybertruck expectations  

      Elon Musk says Cybertruck sales will start Nov. 30, and Wall Street celebrates  

      Tesla earnings miss the mark, but stock gains after margins hold  

      2023-10-19
      Reply
      Report