At the Tesla second-quarter earnings conference call on Wednesday, Musk said: 'I don't expect to do this (sell stocks to raise funds), and I don't plan to do so.'
Investors expressed doubts about how Tesla will continue to fund its operations, as the company is burning money to accelerate its Model 3 production. Tesla said on Wednesday that its quarterly loss increased from $401.4 million in the same period last year to 7.427. One hundred million U.S. dollars.
The company said it is making profits by increasing profit margins and cutting costs. Musk said that the company's third-quarter cash flow will be positive. After the revenue exceeded analysts' expectations, Tesla shares rose in after-hours trading. %.
As for the factory to be opened in Shanghai, China, Musk said that he plans to provide 'local debt'.
At the Tesla Annual General Meeting of Shareholders on June 5th, Robin Ren, global sales director for Musk and Tesla, said they plan to build a factory in China. Once the factory is built, it will produce batteries and assemble cars. The task will be able to work simultaneously.
Tesla said last month that it had signed an agreement to build Gigafactory in Shanghai. 3. The company said it will take two years to start producing cars, and eventually the plant will produce 500,000 cars a year for Chinese customers. Sla still needs to obtain a license in Shanghai, and it may take up to 5 years to achieve full operation of the plant.