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No. There is no requirement to post net profits.As a publicly traded company, doesn't Tesla have to post net profits on a quarterly basis?
Correct. I work for a Publicly traded company. They absolutely are required to post there financial statements which includes among things, net income/loss. Shareholders are owners of the company and are entitled to know the financials. There is an extraordinary amount of compliance that goes along with becoming a publicly traded corporation.As a publicly traded company, doesn't Tesla have to post net profits on a quarterly basis?
2021 is the first time that Tesla net profit margin was positive (a little over 10%) across all company lines of business. Before 2021 the net profit margin was negative even though Tesla has been profitable based on the gross margin for five years or so. There is no net 30% profit margin. It’s another one of Musks ways to obfuscate the financial health of the company.
On previous years’ financial statements (which I reviewed at length many times), they posted net profits for the entire company, but not for the automotive part of the company, for which they always posted only gross profits. It was impossible to tell if their automotive line of business was net profitable or not. They became net profitable in the last year / year and a half - since they raised their prices by 20-25%.2021 is the first time that Tesla net profit margin was positive (a little over 10%) across all company lines of business. Before 2021 the net profit margin was negative even though Tesla has been profitable based on the gross margin for five years or so. There is no net 30% profit margin. It’s another one of Musks ways to obfuscate the financial health of the company.
Here is the publicly available investor information from Q2 this year. It clearly shows 30% gross margin. Compare this to GM for example which has about 12-13%gross margin on average. You can also see Tesla's cashflow at the bottom which shows them increasing their cash reserves while still putting millions into capex.
OH I see what you are saying. They are not itemizing their divisions. I think it is pretty safe to say that the lion's share of their margins comes from the ~1million vehicles they sold last year for like $70k+ average vs the measly Tesla wall and roof sales lol...On previous years’ financial statements (which I reviewed at length many times), they posted net profits for the entire company, but not for the automotive part of the company, for which they always posted only gross profits. It was impossible to tell if their automotive line of business was net profitable or not. They became net profitable in the last year / year and a half - since they raised their prices by 20-25%.
I think we can all agree that they have way more profit to play with than any other car manufacturer. That was really the point of this line of discussion...
Tesla's automotive segment has been more profitable than their other lines. Their "Energy Generation & Storage" division has been in the red every quarter and "Services and Other" tends to be close to break even each quarter. They have had positive GAAP net-income every quarter since Q3-2019 (granted, some were only positive due to regulatory credits) as well as positive cash flow every quarter since Q2-2020.
They have higher than average automotive gross margins but those numbers are skewed due to (1) the margins include the regulatory credits and (2) their "automotive revenues" is based on final sale price to consumers vs legacy manufactures whose revenue is based on price sold to dealers. (Although their "dealership" costs are considerably lower than legacy dealers.)
They have higher than average automotive gross margins but those numbers are skewed due to (1) the margins include the regulatory credits and (2) their "automotive revenues" is based on final sale price to consumers vs legacy manufactures whose revenue is based on price sold to dealers. (Although their "dealership" costs are considerably lower than legacy dealers.)
Their "industry leading margins" are estimated around 14%, which means they're not in such a desperate position that they need to be finding every part of the car they can possibly remove to make a profit. This decision is pure elon looking at the car and trying to find what else he can change and tell people it's futuristic even if it's worse.Tesla doesn’t publish their net profits. Everyone goes by their gross profits, which are about 30% margin, but those are not real profits. I suspect their net profit margin is under 10%.
I also want to point out that in the past, they had a small positive net profit only because of the regulatory carbon credits that they were selling to other automotive manufacturers, such as VW and others. It was only after Musk started raising prices in 2021 that the Tesla automotive division became net profitable even without factoring in the sale of regulatory carbon credits. Since then, the average price of Teslas went up by 20-25%, depending on the model. It only makes sense that Tesla is now net profitable. Still, with the recent runaway inflation, I don’t believe that their current net profit margin is much above 10%. Perhaps it’s unprecedented for the automotive company, but it’s really not such a huge profit margin. I agree, however, that they can afford to put physical buttons and turn signal stalks in their cars, as those items cost them just a few bucks. If the Tesla automotive division were insanely profitable (as a lot of Tesla fanboys claim, citing a 30% “profit” margin), Musk wouldn’t have removed the mobile chargers from the newly built Teslas, as he did a few months ago to save a couple hundred bucks (if that) per car.Their "industry leading margins" are estimated around 14%, which means they're not in such a desperate position that they need to be finding every part of the car they can possibly remove to make a profit. This decision is pure elon looking at the car and trying to find what else he can change and tell people it's futuristic even if it's worse.
The Tesla automotive division is finally net profitable without factoring in the sale of regulatory credits as of 2021, and it finally has healthy profits (after two decades of being unprofitable), but these are not insanely huge net profit margins. I’m hoping for Fisker to achieve a 10% net profit margin within a year / year and a half of November 17, 2022.
Yes, one of the most profitable companies in the work, Apple removed charging blocks from all phones. Cost cutting has nothing to do with a company's gross or net profit. They should be doing it constantly. It's a fine line removing items and features from products before customers notice or get upset. Tesla's manufacturing ethos has been to reduce parts constantly improve parts on the fly without waiting for model years to change. We will see if removing all the traditional stalks affects Tesla sales (I doubt it).I also want to point out that in the past, they had a small positive net profit only because of the regulatory carbon credits that they were selling to other automotive manufacturers, such as VW and others. It was only after Musk started raising prices in 2021 that the Tesla automotive division became net profitable even without factoring in the sale of regulatory carbon credits. Since then, the average price of Teslas went up by 20-25%, depending on the model. It only makes sense that Tesla is now net profitable. Still, with the recent runaway inflation, I don’t believe that their current net profit margin is much above 10%. Perhaps it’s unprecedented for the automotive company, but it’s really not such a huge profit margin. I agree, however, that they can afford to put physical buttons and turn signal stalks in their cars, as those items cost them just a few bucks. If the Tesla automotive division were insanely profitable (as a lot of Tesla fanboys claim), Musk wouldn’t have removed the mobile chargers from the newly built Teslas, as he did a few months ago to save a couple hundred bucks (if that) per car.
The Tesla automotive division is finally net profitable without factoring in the sale of regulatory credits, and it finally has healthy profits (after two decades of being unprofitable), but these are not insanely huge profit margins. I’m hoping for Fisker to achieve a 10% net profit margin within a year / year and a half of November 17, 2022.
Also Tesal has been increasing prices since they still have a big backlog on production. As the factories catch up, demand eases, and competition increases, watch for prices to fall at some point.
I agree. Initially thought wow, digital side mirrors on the ioniq 5 but whilst cool from outside, the inside looked cheap. Also having to keep camera clean, risk of monitor problems etc.. breaking cameras etc.etc. however I do like the inside screen when you turn on the turn signals.Nope, not for me. Some “tech” does not need to be “modernized”. Sideview mirrors replaced by monitors that can go out in a heartbeat?- nope.
Turning stalks replaced by some touch/slide function on a screen? Overkill
Glovebox release mechanism in the “menu” on a touchscreen rather than a button or pull handle? Just please stop.
It might sound crazy, but there are a few of us who actually like moving levers, turning knobs and pressing buttons since we have very little opportunity to actually shift our cars anymore..
HF, please let “drivers” continue to “drive”.
On of the best think HF did is have tactile buttons under the screen. Really good design theory.
Also the natural movement of the turn signals makes driving easier. Muscle memory for important functions is a safety feature in my books.
I have to jump in and disagree. I think I understand what you are getting at, every company should be trying to cut costs to eliminate waste, but there are also times where the choice is more about growth. When revenue growth slows or stagnates, there is only one other way to continue bringing increased value to the shareholders. Cut costs.Cost cutting has nothing to do with a company's gross or net profit.
I don't think you will see prices fall. I understand people are anticipating the TM3 to come back cheaper to access the new tax credit, but I don't think they should be surprised if the TM3 that comes back is not the same version. My guess is several components will either be cut and/or replaced with cheaper materials to bring the cost down. Still may be a good thing, but I think it also may disappoint many.watch for prices to fall at some point
We are in a new world now with insanely high inflation by the US standards. The prices are unlikely to come down on anything unless we can get a handle on the inflation. As it turns out, giving money away by trillions has consequences. Who would have thought?Yes, one of the most profitable companies in the work, Apple removed charging blocks from all phones. Cost cutting has nothing to do with a company's gross or net profit. They should be doing it constantly. It's a fine line removing items and features from products before customers notice or get upset. Tesla's manufacturing ethos has been to reduce parts constantly improve parts on the fly without waiting for model years to change. We will see if removing all the traditional stalks affects Tesla sales (I doubt it).
Also Tesal has been increasing prices since they still have a big backlog on production. As the factories catch up, demand eases, and competition increases, watch for prices to fall at some point.
There was a period of my life when I lived through 1,000,000 percent inflation that occurred within 5 years. Not many people on here have this experience.
Would you buy an Ocean with no stalks?
That's a hard NO from me. Checkout this review from Teslabjorn. Having the position of the indicator controls move around makes it totally unusable in roundabouts.Would you buy an Ocean with no stalks?
Any car you choose has drawbacks or features missing and people need to decide if a given drawback is enough to choose a different car. I would prefer the car to have ventilated seats but am buying the Ocean regardless. Having no stalks would be an unforced error but would likely still buy the Ocean.Would you buy an Ocean with no stalks?
I understand your concern about the turn signals. Having intuitive and easily accessible turn signals is important for safe and convenient driving. It'll be interesting to see how Tesla addresses this design aspect and ensures that the turn signals remain user-friendly and easy to use.
As with any new feature, there will likely be a period of adjustment for drivers. But who knows, it might end up being a seamless and intuitive experience once we get accustomed to the new setup. Innovation often brings mixed opinions, but it's exciting to see car manufacturers exploring new possibilities. Keep an eye on updates regarding the Tesla Model 3 steering wheel, and let's see how this innovative design choice unfolds!
As with any new feature, there will likely be a period of adjustment for drivers. But who knows, it might end up being a seamless and intuitive experience once we get accustomed to the new setup. Innovation often brings mixed opinions, but it's exciting to see car manufacturers exploring new possibilities. Keep an eye on updates regarding the Tesla Model 3 steering wheel, and let's see how this innovative design choice unfolds!
99% of Americans don’t even know what turn signals are or what they are for. That’s why Tesla removed the stalks.I understand your concern about the turn signals. Having intuitive and easily accessible turn signals is important for safe and convenient driving. It'll be interesting to see how Tesla addresses this design aspect and ensures that the turn signals remain user-friendly and easy to use.
God i hate that stupid yolk. That’s what non driving enthusiasts think driving enthusiasts would want.That's a hard NO from me. Checkout this review from Teslabjorn. Having the position of the indicator controls move around makes it totally unusable in roundabouts.
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