Tesla Motors, the Californian automaker that produces only one electric car – the Model S – managed to post better than forecast first-quarter operating profit but disappointed with second quarter outlook.
Tesla Motors, which has been for the previous year and a half America’s investor sweetheart is a little bit the victim of its own success, as the automaker, ruled by billionaire entrepreneur Elon Musk, disappointed some of its investors with a second quarter conservative approach, which triggered a 7% share dip to $186.
In the first quarter, Tesla earned $17 million, or 12 cents a share, excluding one-time items, but on a net basis, Tesla lost $49.8 million, or 40 cents a share, while last year’s profit was of $11.25 million, or 10 cents a share. Net revenue was up 10% to around $621 million and also operating revenue grew by 27 % to $713 million.
The results and share drop are consistent with “overall market weighting and expectations of a bigger delivery number next quarter,” said Ben Kallo, an equity analyst with Robert W. Baird, who rates Tesla outperform. “Operating expenses continue to increase, but that’s to be expected for such rapid growth.”
First quarter deliveries went up from 4,900 units in 2013 to 6,457 cars – with Tesla saying battery constraints capped the delivery possibilities – a situation expected to last through the second quarter.
Via Reuters, Bloomberg