Tesla Inc. posted its biggest ever quarterly loss in the fourth quarter of 2017, but CEO Elon Musk said the electric car manufacturer should begin making a sustained operating profit at some point in 2018.
Tesla booked a net loss attributable to common stockholders of $675.4 million, or $4.01 per share, in the quarter that ended Dec. 31, 2017, compared with a net loss of $121.3 million, or 78 cents per share, in the year-ago period.
Total revenues rose to $3.29 billion from $2.28 billion in the fourth quarter of fiscal 2016.
"2018 will be a transformative year for Tesla, with a high level of operational scaling. As we ramp production of both Model 3 and our energy products while keeping tight control of operating expenses, our quarterly operating income should turn sustainably positive at some point in 2018," Musk, also in the headlines for the successful launch of his Falcon Heavy space rocket, said in a letter to shareholders.
Automotive revenue surged 36% year over year to $2.70 billion from $1.99 billion in the year-ago period, driven by 35% growth in vehicle deliveries.
Tesla said it achieved record deliveries for the Model S and Model X vehicles but noted delays in the production ramp of the Model 3 sedan.
Revenue for the energy generation and storage segment rose to $298 million from $131.4 million in the year-ago quarter. Full-year revenue for this segment climbed to $1.12 billion from $181.4 million in fiscal 2016.
For 2018, Tesla expects energy storage products to "at least triple" in sales.
Capital expenditures reached $786.7 million in the fourth quarter and $3.41 billion for full year 2017.
Tesla said it will increase its capital expenditures in 2018, with higher spending at its Gigafactory 1 and Fremont plants, as well as on building stores, service centers and Superchargers.
