It ain't easy creating a brand-new automaker from scratch. The fact that Elon Musk and Tesla have actually been able to bring not one, but two cars to market is in itself quite impressive. That said, the road has not been without its bumps, and Tesla is feeling some of the setbacks that come with being a fledgling automaker.

To that end, Tesla has revealed that it expects $400 million to $440 million in full-year revenue, or roughly $160 million less than its prior 2012 revenue forecasts. In a Securities and Exchange Commission filing on Monday, the electric carmaker said "We have methodically increased our Model S production at a slower rate than we had earlier anticipated," leading to the company figuring they'll fall short of the $560 million to $600 million they originally forecasted. Tesla also revealed a net cumulative loss of $864.9 million through June 30 of this year – Tesla has yet to break even as an automaking entity, but it remains something of a startup, so the fact that it has lost money to this point shouldn't be a major surprise – building cars is expensive, and learning how to do so is even more expensive. Following the disclosure, Tesla shares fell about 8.5 percent this morning in trading.

Tesla cites delays in suppliers for its Model S production shortcomings. The California automaker says it is working with suppliers to speed up deliveries and internally, it is adding shifts and automation to its manufacturing processes. With little more than half of the 5,000-vehicle target expected to be built by year's end, Tesla says it is four to five weeks behind its delivery goals.

Meanwhile, reservations are on the rise. 11,500 Model S units were spoken for at the end of June, and that number has risen to 13,000 as of September 23 (not counting vehicles already delivered). While reservations increased, so did cancelations.

The first several thousand reserved customers were asked to configure their vehicles for delivery, lest they lose their places in line.


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  • 231 Comments
      Ryan
      • 2 Years Ago
      Why all the hate for this car and company? The Model S is a beautiful design inside and out, has far fewer parts than a regular car, goes plenty far for most people, and charging it today is easier than getting petrol was when the car was first invented. Tesla is definitely doing the electric car the right way. They're opening service centers based on the locations of their pre-order customers and they just announced their new supercharger charging stations that charge in about 30 minutes. And while the car is too heavy to handle like a sports car, you have to sit up and take notice of the top range model's 0-60 times. The bottom line for me is that electrification of vehicles is going to have to take place at some point and the sooner it can be made cheap and the infrastructure necessary to support them put in, the better. As a (daily) Corvette driver, I can't wait for the day when Corvettes are all-electric, all-wheel drive, with 0-60 in under 3 seconds. While I will miss the sound of a proper V8, I'm willing for the driving experience to change in that way if going through the twisties is still (or more) fun. I hope Tesla will succeed - sell vehicles, get charging infrastructure in place, and eventually bring costs down so they can sell them to the masses. If they can hold on for 10 years, I predict that ranges will go up to over 500 miles per charge, charging at home will be less than over-night (2-5 hours), and charging stations will be even faster than today's new supercharger - something like 5-10 minutes. 5 minutes isn't much longer (or might be shorter) than filling some big gas tanks today. BTW, I don't think this has to be about the environment (we all know these batteries aren't environmentally friendly). As Elon has said, he's out to make 'the best cars'. It can just be about that. Best of luck to him.
      Ashton
      • 2 Years Ago
      I'm not surprised, we all knew that they weren't going to reach 5000 model S's by the end of the year.
      ZEE
      • 2 Years Ago
      I got downvoted for saying last week that #2800 will be delivered in early December.
        oktrader
        • 2 Years Ago
        @ZEE
        You shouldn't be downvoted for what by all current understanding appears factual. Personally, I doubt Tesla can pull it off, but it is currently the commitment to customers and investors.
        purrpullberra
        • 2 Years Ago
        @ZEE
        It meant one thing: they disagreed with you, that's it. You aren't being declared despicable, or something, for shorting a world class american high-tech start up that's achieved every goal it set for itself. They just disagreed. It's not something I would do for that statement but....
      Leonard Stastny
      • 2 Years Ago
      Tesla produces beautiful automobils.
      Practical Nomad
      • 2 Years Ago
      That's a great exterior design, very nice looking.
      purrpullberra
      • 2 Years Ago
      Well, DUH! Only fools thought these loses wouldn't happen. They needed more money so they sold more stock. The rave reviews for the product keep coming so demand will rise once the cars get on the road (and if they spend a cent to advertise, which they may never need to do). The announcement of free fuel, forever, from the sun is going to sell a lot of product. It is the ultimate 'value added' product for today's high-fuel-price-sensitive car buyers. If you can afford a $60,000 car you may never need pay for fuel again if you buy a Tesla ModelS. OK: this isn't meant as an attack on your position, just selling cars, as opposed to all my other comments in this thread. Wink.
      Avinash Machado
      • 2 Years Ago
      They have done quite well for a startup so far.
        design eye
        • 2 Years Ago
        @Avinash Machado
        I comment Musk for taking the risk. We need more like him. Pioneers!
      GasMan
      • 2 Years Ago
      There are many people who dismissed EVs as glorified golf carts. The Nissan Leaf and the Model S are REAL CARS that can be used by many people for real uses. That is a significant accomplishment. I have lots of internal combustion vehicles and I would love to have a Model S and would love for us to use less imported oil. Yes Tesla got lots of taxpayer dollars but at least Elon Musk has serious skin in the game. If this thing goes south, and it might, he will lose millions right alongside the rest of us. On the flip side, we might end up changing the energy game.
      MarcGA
      • 2 Years Ago
      I was delighted to read of Tesla's 300-mile range. That puts the Model S in line for consideration as I drive 60 miles one way M-F. Really admire the methodical way this team has approached EV development. Current plan is reserve in '14, drive one in '15 or when ready. Hopefully this will be my last car.
      Hedo D
      • 2 Years Ago
      Since both Toyota and Panasonic have stakes in Tesla, I don\'t think it will go out of business any time soon.
      tbird57w
      • 2 Years Ago
      I'll be darned! I'm shocked! who would ever have thought it would have taken so many dummies so long to realize it was always a hoax. j-o-h-n d-e-l-o-r-e-a-n
        tump
        • 2 Years Ago
        @tbird57w
        We should have never given the inbreds internet access.
          • 2 Years Ago
          @tump
          [blocked]
        Grendal
        • 2 Years Ago
        @tbird57w
        Hoax? I guess you didn't read the article or couldn't read it. 500 cars built and 250 cars in customers hands already in the three months since they began production. The car has been universally reviewed as one of the best cars the reviewers have ever driven. It's being compared to a $125K Porsche Panamera and stands up to that comparison very well. It's only been two weeks since they cranked up production. They delayed to make sure the product was perfect. Not a hoax. Not by a long shot. There's no guarantee that they will pull this off but they are sure doing everything the right way to make it as great as it can be.
        Zippy Doo
        • 2 Years Ago
        @tbird57w
        John Delorean's successes far outweigh his failures. He brought the world the legendary GTO, among other icons of American muscle, brought Chevy back from the brink in 1970. And hell, the DMC-12 is itself one of the most recognizable cars ever. You may as well have tried invoking Preston Tucker, which would at least have the benefit of having some relevance.
        purrpullberra
        • 2 Years Ago
        @tbird57w
        Pure garbage! And it makes wild claims too.
      johnenzo
      • 2 Years Ago
      Just let this 3 legged horse die before it costs the tax payers billions.
        purrpullberra
        • 2 Years Ago
        @johnenzo
        Loans aren't losses. A lot of time is required for startups to be profitable. you say words an idiot would use, not trying to call names, just noticing the perfect match ups.
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