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A comment on SEC Sues Musk and Seeks Ban for His Tweets on Go-Private Deal. Parent comment

Re:SEC Sues Musk and Seeks Ban for His Tweets on Go-Private ... by sergiosgc on Friday September 28, 2018 @06:31AM (#18092280)
Tesla's debt servicing cost 600 million yearly (Bill Cunningham estimates). It is producing Model 3s at a pace of 4k weekly (according to Bloomberg). Each represents 15kUSD in gross profit (according to Munro). It takes ten weeks to service the yearly debt using current Model 3 sales.

If these numbers are right, once Tesla proved to be able to produce Model 3s, it became financially stable. It will easily be able to roll-over bonds.

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Re:SEC Sues Musk and Seeks Ban for His Tweets on Go-Private ... by jsight on Friday September 28, 2018 @09:15AM (#18093026)
> Each represents 15kUSD in gross profit (according to Munro).

I was with you on every part but this. It is better to use the company's SEC filings than the Munro report for estimating cash flow per vehicle.

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Re:SEC Sues Musk and Seeks Ban for His Tweets on Go-Private ... by sergiosgc on Friday September 28, 2018 @09:42AM (#18093252)
Good point. It's a different number, but a relevant datapoint anyhow. The last filing shows a gross profit margin of 15%.

It's a different number because it includes cost of the sale infrastructure. Unfortunately, it's for the quarter ending in June, so the volume of model 3 is still not very relevant against the other models.

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