Tesla made profit for the third consecutive year in the first quarter of 2020. It is a surprisingly positive result, as many automakers are suffering from the corona crisis. However, the result was eclipsed by statements by CEO Elon Musk, who called the lockdown measures “fascist.”
The corona measures also affect Tesla’s performance. For example, the car manufacturer suffers from the closure of a large factory in the state of California, which is required by the US government. Everything has been standing still since the end of March and that measure will certainly apply until 31 May. It is therefore questionable whether the losses that will be made in this way can be limited in the coming quarter.
During a telephone commentary on the numbers, Musk called the lockdown requiring the factory to remain closed a “serious risk” for the company. He was also generally critical of lockdowns. “To say that people should not leave their homes and that they will be arrested if they do is fascist. This is not democratic, this is not freedom. Damn people their freedom back!”
In early March, the CEO called the panic about the virus “stupid,” but later donated free respirators to hospitals. The company cannot yet predict how soon production and supply chains will get going again. Musk did say that Tesla may reveal the location of a new American factory within three months.