The automaker has posted a huge $702 million loss in the first quarter of 2019. Musk telegraphed this in February and this came after he claimed that the company would earn more money than ever in that current year. The loss is smaller than the one that was made the year before. This snapped a very modest streak of having two profitable years in a row. The company has generated net income in the first quarter a year earlier and this has most certainly puzzled a lot of people. The company have also released a statement stating that they have released an open letter to their investors. They have said that they expect to lose money in the second quarter, but they do intend to return back to profit in the third quarter. This has easily been one of the worst quarters on record because the company are trying so hard to try and slash costs. They are doing this by closing down as many stores as they can, and they are also moving to try and embrace online sales too. Those who work in automotive jobs or even in automotive recruitment will know this more than anyone.
Of course, it would appear that Tesla are no longer benefiting from the tax credit and they are also suffering from the initial customer rush too. This is especially the case when you look at the Model 3. There are tons of luxurious German brands who are rushing to try and enter the market, and all of this is going to have a detrimental impact on the marketplace. The results are disappointing to say the least and they come just two days after Musk chose to invite investors to experience the full self-driving vehicle.