Are There Cockroaches Under Tesla’s Hood?
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Nov. 15 (Bloomberg) -- Tesla Motors Inc. shareholders havehad much to fret about lately, from a nosebleed valuation andsagging stock price to periodic YouTube videos of explodingTesla electric cars. Here’s another one for the list: SometimesTesla acts like it doesn’t know what it’s doing when it comes tofinancial reporting.
Consider Tesla’s news release last week disclosing itsthird-quarter financial results. The headline said Tesla had“Net income (non-GAAP) of $16 million.” Tesla spent parts ofthe first three pages discussing this and other nonstandardmetrics that don’t comply with generally accepted accountingprinciples.