Earlier quoted context omitted.
Right now they are building the Signature series cars. These are the first 1000 cars. The reservations for these cars involved a $40k payment up front, in some cases up to 3 years ago. General production cars only required a $5k payment up front. As a result, they are only capturing ~$50k per car, versus ~$85k once GP cars start rolling off the line. In addition, they've been ramping up production (they're roughly ha…
> As a result, they are only capturing ~$50k per car, versus ~$85k once GP cars start rolling off the line. That is not how GAAP accounting works. You record revenue when you finish building the car and it leaves the factory gate, not when you accept a deposit.
They did say "cashflow" positive by Q4 though, cashflow is recorded when cash moves, not when revenue accrues.