SIX - Model S per day

SIX - Model S per day

Thought you guys may enjoy this reading on Elon from Bloomberg Businessweek

Towards the end of the article you'll noticed the reference of 6 Model S are being built per day at present.


mrspaghetti | September 15, 2012

I can't find that in the article. Can you post the quote?

sergiyz | September 15, 2012

Musk bought it for $42 million when Toyota shuttered the plant in 2010. At the moment it’s producing six Model S’s each day.

sergiyz | September 15, 2012

it's interesting that toyota was making about 1,400 cars a day.
That shows what tesla could potentially achieve under that roof.

olanmills | September 15, 2012

Haha, some times the stuff Elon says (or the way people write about it, for effect) just seem unreal.

"Musk’s staff huddles around him as he zeroes in on a sun visor. He hates it. He examines the seam and, noticing how it pushes up the fabric, declares it “fish-lipped.” The screws on the hinges feel like knives stabbing him in the eye. He announces he wants to find the best sun visor in the world, and then make a better one."

jbunn | September 15, 2012

Some guy on another site said Elon sounded like a "douche". To me, he sounds like the kind of guy I want to buy a product from.

Brian H | September 16, 2012

Toyota sold the plant for $42 million and bought about $42 million in equity. That simplifies to: Toyota sold the plant for an equity share.

brianman | September 16, 2012

Video at the bottom.

Elon Musk:
3:10 "around 80 cars this week"

so around 11 a day

Whity Whiteman | September 16, 2012

at a 6 days-week 14 cars/day... they need 64/day, to meet the target of 20.000/Year... they have to fold up the actual rate two times- more or less

nickjhowe | September 16, 2012

@Brianman/@Whity - and he also says there'll be "more than 80 next week" The ramp continues...

Mile Erlic | September 16, 2012

Shooting up the S-curve. Next issue...deliveries

Volker.Berlin | September 16, 2012

Another quote from the same article belongs here: "Tesla expects to produce as many as 100 cars per day by the end of the year, says Gilbert Passin, Tesla’s vice president for manufacturing."

That would be comfortably more than the 64/day Whity is looking for.

Whity Whiteman | September 16, 2012

that would mean apr. 30.000/Year. GB mentioned it in one of the last interviews.
I see minimum 5000 in 2012 and between 20K and 30K in 2013, maybe more.
Question of reservations..

jerry3 | September 16, 2012


Tesla (as a company) needs to sell about 30,000 cars to become profitable (that includes all the losing years). So I expect that's what their real goal is for 2013.

Brian H | September 16, 2012

The losing years don't figure into "profitability". They are "absorbed" into shareholder equity. Profitability is a current, real-time term, unless the period is specified otherwise.

Whity Whiteman | September 16, 2012

jerry, sorry- for that, but sometimes there is a basic misunderstanding...
Every year on 31st december, there is a "reset" and all numbers start over.
So, 8000/year= break even... everything over 8000 brings 25% margin. That's
exactly, what I get (ok, contracts MB and Toyota on top).

or am I wrong here?

Brian H | September 16, 2012

That's correct. The financial "year" may begin on some other date, of course.

As an ex-bookkeeper/accountant/company Treasurer, I assure jerry3 that's how things are done.

jerry3 | September 16, 2012

Brian and Whity, You guys are correct, that's how the financial statements work. Each financial year is independent of the previous one, and of course the profit for that year is in isolation of every other year from an accounting perspective.

However, selling about 30,000 cars at 25% profit would show enough profit to wipe out the prior years' losses, even if it wouldn't be accounted for that way (as it would go into shareholder equity). If I were a shareholder, I'm sure that would make me really happy.