Investor's Corner
Tesla crushes Q3 2019 results and returns to profitability
Tesla’s (NASDAQ:TSLA) third-quarter earnings for 2019 saw the electric car maker post $6.3 billion in revenue, meeting Wall Street estimates. The results, which were discussed at length in an Update Letter, were released after the closing bell on Wednesday, October 23.
The following are the key points in Tesla’s Q3 Update Letter.
EARNINGS
Tesla shareholders saw earnings per share of $1.91. In contrast, analysts polled by FactSet expected Tesla to report an adjusted quarterly loss of $0.46 a share for Q3 2019. Estimize, a crowdsourced platform that aggregates estimates from analysts, executives, fund managers, and academics, expected Tesla to report an adjusted loss of $0.29 per share.
REVENUE
Tesla reported revenue of $6.3 billion for the third quarter. Analysts polled by FactSet expected Tesla to report sales of $6.45 billion in the third quarter, while Estimize placed Tesla at a slightly more optimistic $6.60 billion.
Tesla Q3 results:
– Shanghai Giga ahead of schedule
– Model Y ahead of schedule
– Solar installs +48% from Q2
– GAAP profitable
– Positive free cash flow— Elon Musk (@elonmusk) October 23, 2019
RELATED: Top 5 things Tesla (TSLA) investors want to know from the Q3 2019 earnings call
Overall, Tesla’s results are a pleasant surprise for supporters of the electric car maker. Even CEO Elon Musk, after all, proved tempered with his expectations for the third quarter, stating during the second-quarter earnings call that he expects a small loss in Q3 2019. The company’s vehicle delivery figures in Q3 did not help this case, as the company was unable to meet Elon Musk’s internal goal of delivering 100,000 electric cars in the third quarter, delivering around 97,000 vehicles during the quarter.
TESLA MODEL Y PRODUCTION
Apart from its encouraging financials, Tesla also shared a number of optimistic updates for its vehicles and its budding Energy business. The Model Y, a crossover SUV that is expected to be even more popular than the widely-successful Tesla Model 3, has had its estimated deliveries move up to Summer 2020. During the vehicle’s unveiling, Musk proved conservative, giving an estimate of Fall 2020 (about a year from now) for the Model Y to begin customer deliveries.
GIGAFACTORY 3 PROGRESS
Tesla has also confirmed reports from China that Gigafactory 3 is progressing ahead of schedule. Previous reports from local media outlets have already hinted at this in recent months, and Tesla’s validation of these reports proved enough to shift the narrative back into the electric car maker’s favor.
“We are already producing full vehicles on a trial basis, from body, to paint and to general assembly, at Gigafactory Shanghai. We have cleared initial milestones toward our manufacturing license and are working towards finalizing the license and meeting other governmental requirements before we begin ramping production and delivery of vehicles from Shanghai,” Tesla stated.
TESLA SOLAR
Tesla’s Energy business also showed some growth in the third quarter. Long dormant and tempered compared to the company’s electric vehicle business, Tesla Energy has long been considered by skeptics as a neglected project. This has changed in the third quarter, with Tesla Solar installs moving up 48% compared to Q2 2019’s figures. These installations are further bolstered by new initiatives relating to the company’s energy business, such as the introduction of the Megapack, a massive 3 MW battery that could prove to be as disruptive as Tesla’s electric cars.
TESLA SEMI and GIGAFACTORY EUROPE
Tesla has been quite thin on updates surrounding the Tesla Semi, having focused more on Model 3. In its Q3 Update Letter, Tesla revealed that its all-electric long-hauler is poised to begin production in late 2020. An official announcement about the location of Gigafactory 4 in Europe is also expected to be released in 2021. “We are planning to produce limited volumes of Tesla Semi in 2020 and are hoping to announce soon the location of our European Gigafactory for production in 2021,” Tesla wrote.
As of writing, Tesla stock is up 21.03% at $ 308.25 per share in Thursday’s after-hours trading.
Following is Tesla’s Q3 2019 Update Letter.
Tesla Q3’19 Update Letter by Simon Alvarez on Scribd
Elon Musk
SpaceX Starship Flight 13 aborted at Zero and Musk just told us what broke
Four Raptor engines failed to ignite at T-zero, forcing SpaceX to scrub Starship Flight 13 Thursday.
SpaceX scrubbed the Starship Flight 13 launch attempt Thursday evening at the last possible moment, after four of the Super Heavy booster’s 33 Raptor 3 engines failed to ignite during the startup sequence. The 90-minute window had opened at 6:45 p.m. EDT from Starbase in Boca Chica, Texas, and the countdown had proceeded without issue all day, with more than 11.5 million pounds of liquid methane and liquid oxygen being fully loaded into the rocket before the automated abort triggered. SpaceX’s launch directors posted on X, “Standing down from today’s flight test attempt,” and shut down the livestream shortly after.
Musk confirmed the root cause within hours. “Some of the engines didn’t start, triggering an automatic launch abort,” he wrote on X. “To be confident of a good flight, 2 Raptors will be removed and replaced. Most probable launch timing is early next week.” SpaceX engineers began draining propellant tanks immediately and Booster 20 was rolled back to its hangar for inspection.
The timing adds a layer of significance that did not exist during any of the previous 12 Starship flights. This is the first time SpaceX has attempted to launch Starship since the company made its stock market debut in June, listing under ticker SPCX at $135 per share. Public investors are now watching every Starship outcome in real time, and a last-second abort carries more visibility than it would have six months ago.
Flight 13 was designed to be one of the most consequential tests in the program’s history. It was set to carry 20 Starlink V3 satellites, the first operational payload Starship has ever attempted to deploy. Six of those satellites carried external cameras to photograph Starship’s heat shield from the outside during flight, which would act as a self-inspection approach SpaceX has never attempted before. The mission also needed to complete a Raptor engine relight in space, a step SpaceX skipped on Flight 12 in May after losing an engine during ascent. That Flight 12 booster also flipped 90 degrees off course during its boostback burn when five engines failed to reignite.
SpaceX has not announced an official next launch date. Musk’s “early next week” window points to July 21 or 22 at the earliest, pending the engine swap and a return to the pad.
Lucid CEO Silvio Napoli responded to rumors of an imminent bankruptcy that was reportedly being mulled after a report stated the automaker was working with the firm AlixPartners to iron out its next steps.
The company felt a massive loss on Wall Street yesterday, as the report essentially pushed the stock down as much as 55 percent on Tuesday.
The report, published initially by Eletric-Vehicles.com, claimed Lucid was essentially in dire straits and was told by AlixPartners, a commonly used restructuring advisor, to either take shares private or file for Chapter 11 bankruptcy protection.
Lucid’s head of Communications, Nick Twork, immediately challenged the report and stated the company “has sufficient liquidity to carry its operations well into next year.”
Now, the company’s CEO is chiming in as well, stating that the report is “so far from the facts that they require a direct response.”
Napoli said:
“Lucid is not considering bankruptcy or a transaction to take the company private. Those reports are false. The Board did not explore either scenario. Period.
As disclosed in our most recent quarterly filing, Lucid has sufficient liquidity to fund its operations well into next year.
We work with outside advisors to improve operational performance and execution. They are not advising Lucid on a take-private transaction or bankruptcy, and any suggestion that they have recommended either course of action to management or the Board is false.
My priority is clear: turn this company around. That is where the leadership team and I are focused.
I look forward to providing a full update during our quarterly earnings call on August 4th.”
🚨 Lucid CEO Silvio Napoli calls rumors of financial issues “so far from the facts that they require a direct response.”
Read his full remarks here: https://t.co/t3Pg1NHvzy pic.twitter.com/LvHUPhO4Qf
— TESLARATI (@Teslarati) July 15, 2026
It seems pretty clear that Lucid is confident things will be okay, and, to be honest, they should not have much to worry about, especially considering the company has been backed by the Saudi Public Investment Fund (PIF) for years. It has solid financial backing, and its sales, while weak, are pretty much right on par with a company of this age.
Lucid also sent a Cease & Desist letter to the publication for their report.
Lucid shares have rebounded nicely and are up nearly 21 percent at the time of publication. As soon as the company dispelled the rumors of bankruptcy yesterday, the stock began to climb back toward more reasonable levels.
Electric vehicle maker Lucid Group has denied rumors of an imminent bankruptcy after a report from this morning sent the stock on a dramatic drop on Wall Street, seeing losses of more than 40 percent during trading hours.
Lucid’s Director of Communications, Nick Twork, responded to the report from Eletric-Vehicles.com, which stated the company’s restructuring advisor, AlixPartners, was asked to review two decisions: taking Lucid shares private or filing for Chapter 11 bankruptcy protection.
The report also claims AlixPartners told the Lucid board to “concentrate on Gravity production while improving its quality, and to temporarily hold back the Lucid Air, the sedan that has defined the company since its launch.”
Twork said:
$LCID The rumors are completely false. The company has sufficient liquidity to carry its operations well into next year, as recently published in its last quarterly filings, and it has not formed any special Board committee to explore the scenarios reported today. Our focus is…
— Nick Twork (@ntwork) July 14, 2026
Shares rebounded after the response to the report, halving its losses as the trading day neared 3 p.m. Eastern.
Lucid has struggled to get its sales off the ground and into more respectable numbers, but the company is in its early years, when things are hard to begin with. It is also backed by several notable investors, including the Saudi Public Investment Fund (PIF), which has nearly limitless money and likely would not ditch an investment of this size so soon.
Lucid shares were down just 14 percent at the time of publication, a far cry from the 55 percent its losses topped out at during the day.
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