Tesla today re-affirmed that the production of its next car, the Model 3, would begin in July — and that the company had $4 billion in cash-on-hand heading into the second quarter this year.
Both of those are going to be critical as Tesla heads into the back half of the year, which reported its first-quarter earnings today. The company has gone to market multiple times to raise additional capital, and said year-to-date capital expenditures would be slightly over $2 billion by the time it started Model 3 production. With a lower price point, the Model 3 opens Tesla up to a wider market that could help it justify its ballooning valuation.
Tesla reported a loss of $1.33 per share on revenue of $2.7 billion, while Wall Street expected a loss of 83 cents per share on $2.61 billion in revenue. While it was a wider-than-expected loss, it looks like a pretty ho-hum result for the company as all eyes look toward the later part of the year when the Model 3 production is in full swing — and whether Tesla will be able to get enough cars rolling out.
In April, Tesla’s