German carmaker makes enormous investment in electric cars. Do they know something the rest of us don’t?
It is Volkswagen (OTC: VLKAY) and not Tesla Motors (NASDAQ: TSLA) that holds the electric-vehicle future. If just one-third of VW’s electric ambitions bear fruit, Tesla is doomed.
The German-auto giant plans to spend $82.5 billion on electrification; an unidentified source told Reuters. Fortune reported in November 2017 that VW has as many as 80 electric models on the drawing board. Note: Volkswagen itself refused to comment on this rumor which means it is nothing but speculation.
Some important specifics that indicate the rumor might be true include:
- Those plans will include five electric models in China by 2025, Volkswagen China CEO Jochem Heizmann told The Financial Times. Production of the first VW electric vehicles in the People’s Republic is supposed to begin in 2018.
- Volkswagen plans to start building its first all-electric vehicle in the United States by 2020, Electrek reported. They will build the I.D. Crozz Concept sport utility vehicle (SUV) in Chattanooga, Tennessee, a Volkswagen press release stated.
- A second electric vehicle, the e-Golf hot hatchback, will also be built at Chattanooga at some point in the future.
- Production of the e-Golf in Germany will be doubled to meet demand.
- Volkswagen plans to market two electric cars in California: the e-Golf and the ID Cross by 2019, Green Car Reports revealed.
- VW subsidiary Electrify America announced that it would build 500 fast-charging stations across the United States by June 2019, The Verge reported. Chargers will be installed at dealerships, and on highways, Porsche Cars North America CEO Klaus Zellme told Automotive News.
- Volkswagen subsidiary Porsche is planning two electric models: the Mission E and an electric SUV based on the Cross Turismo, The Verge Both vehicles are scheduled to be on the market in 2020.
- Volkswagen is so committed to electrics that it will change its logo to reflect a commitment to electrics, Bloomberg reported.
- Volkswagen will need up to 40 factories producing enough batteries to hold a gigawatt (one billion watts) of electricity by 2030, CNN reported. Each would be the equivalent of one of Tesla’s gigafactories. VW will need 150 gigawatts of electricity to power all the cars it wants to electrify, CNN claimed.
- Volkswagen’s Scania division has invested 10€ ($12.5 billion) in They plan to build a gigafactory battery-production facility and lab at Västerås, Sweden, Electrek reported.
- Volkswagen’s MAN subsidiary is testing an electric semi-tractor, Clean Technica reported.
- Volkswagen might have plans to electrify all 300 of its models by 2030, Electrek claimed.
Volkswagen Has The Money To Electrify
Volkswagen has the money to electrify as the automaker had $45.18 billion in cash and short-term investments on December 31, 2017, YCharts reported. That number was up from $43.3 billion in December 2016.
This fact means Volkswagen can pay for much, or perhaps all of its electric ambitions with the money it has in the bank. There will be no need to borrow or issue additional stock.
Volkswagen also reported a net income of $12.75 billion and earning $19.96 billion in cash from financing on December 31, 2017. Those funds came from annual revenues of $260.62 billion at the end of 2017. That number was up from $240.48 billion in December 2016, and $236.67 billion in December 2015.
Revenue figures indicate that VW has recovered quickly from the “dieselgate” scandal. The December 2017 annual revenue of $260.62 billion almost matches the December 2014 revenue number of $268.63 billion. If this continues, Volkswagen’s revenues will exceed the September 2014 high of $270.15 billion sometime next year.
To add icing to the electric cake, Volkswagen reported $506.508 billion in assets on December 31, 2017. That means it should have no trouble borrowing money if it needs to finance new plants or equipment to electrify.
Volkswagen not only has the money to electrify, but it also has the resources to borrow the money and develop the technology needed to make EVs a reality. That gives it an advantage Tesla will never be able to match: money.
Tesla Has No Money
Tesla Motors reported an “annual net income” of -$1.961 billion on December 31, 2017. That means it lost nearly two billion dollars during the year instead of making money.
Elon Musk’s company reported an “annual operating income” of -$1.632 billion on December 31, 2017. That means Tesla lost $1.632 billion from its operations.
Disturbingly, Tesla’s actual losses might be far more substantial, as the company reported an annual “free cash flow” of -$4.142 billion on December 31, 2017. That means Tesla may have lost more than $4 billion from its operations in 2017.
Tesla Is Not Making Any Money From Its Operations
Tesla Motors also reported an “investing cash flow” of around -$4.19 billion and an operating cash flow of -$60.65 million, which sounds incredibly low on the same day. There was one positive cash flow number at Tesla: it had a financing cash flow of $4.415 billion. This amount comes from the borrowing and financing of cars the company sells.
The bottom line is that Tesla is not making any money from its operations. Despite the losses, it had some money in the bank in the form of $3.523 billion in cash and short-term investments on December 31, 2017. This figure is low for the auto industry; the Ford Motor Company (NYSE: F) reported cash and short-term investments of $38.927 billion on the same day.
A disturbing conclusion that one can make here is that the money Tesla has in the bank came from the financing cash flow. That is, it might be money that Elon Musk borrowed. It might explain why Tesla has so little money in the bank, when the ailing Fiat Chrysler Automobiles (NYSE: FCAU) reported having $15.756 billion cash and short-term investments on New Year’s Eve in 2017.
Tesla Cannot Compete With Volkswagen
Here are a few nonfinancial numbers that prove Tesla clearly cannot compete with Volkswagen:
- Volkswagen operates 120 production plants in Europe alone. This statistic is an undercount because the figure does not include the VW factories in North and South America, Asia, and elsewhere.
- Tesla has two automobile production facilities: a large plant in Freemont, California, and a small facility in the Netherlands. A third factory in China is still on the drawing board.
- Volkswagen currently manufactures around 44,170 vehicles every week worldwide.
- News stories indicate that Musk will be struggling to manufacture 6,000 cars a week by June 2018. Elon himself admitted that the company is stuck in “production hell,” Wired reported.
- Volkswagen plans to increase production at its factory in Zwickau, Saxony, to 1,500 cars a day in the near future, Electrek reported. That means one VW factory can produce more than twice as many cars a week as Tesla’s maximum production.
A glance at the Volkswagen Group reveals that the $294.57 Tesla share price from April 19, 2018 was pure fantasy. The company lacks the resources to justify that price. The same data shows that Volkswagen AG (ETR: VOW3) was undervalued at $212.
Skeptics will wonder what the future of Tesla is. The simple answer is that Tesla will collapse and its remains will be gobbled up by another automaker. There are too many customers and too much high-quality technology at Tesla for a competitor like Tata Motors (NYSE: TTM) or Volkswagen to pass up. The Tesla brand will survive, but Elon Musk’s company will disappear.
I would not be surprised to see Tesla join the Volkswagen Group at some point in the future. Smart investors will ignore Tesla and buy through traditional automakers like VW.
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NYC Adds Nearly 4,000 People Who Never Tested Positive To Coronavirus Death Tolls
New York City added nearly 4,000 people who never tested positive for the coronavirus to its death toll Tuesday, bringing coronavirus-related deaths in the city to around 10,000 people.
The city decided to add 3,700 people to its death tolls, who they “presumed” to have died from the virus, according to a report from The New York Times. The additions increased the death toll in the U.S. by 17%, according to the Times report, and included people who were suffering from symptoms of the virus, such as intense coughing and a fever.
The report stated that Democratic New York City Mayor Bill de Blasio decided over the weekend to change the way the city is counting deaths.
“In the heat of battle, our primary focus has been on saving lives,” de Blasio press secretary Freddi Goldstein told the Times.“As soon as the issue was raised, the mayor immediately moved to release the data.”
The Ultimate Energizer Review – Does It Really Work?
If you’re looking for a review of the ultimate energizer guide then you have come to the right spot because in this exclusive article we’re going to blow the lid off the ultimate energizer once and for all and reveal weather it is the real deal or not.
This brings us to the review of the ultimate energizer guide. This is a program that provides users with classified information on how to build a free energy generator. But can the program really make you achieve this?
does it work? will it be worth your investment, time and energy? all these questions and more are what this review on the ultimate energizer program seeks to help you find answers to.
The ultimate energizer review – is it worth it?
About The Ultimate Energizer guide
The ultimate energizer is your ultimate guide to building your own alternative and portable energy source to power up any of your household appliances including refrigerators and aircon units. It is a very affordable way to having an emergency generator that can help you save more than 50% from your electricity bills without spending too much on other alternative energy source like solar panels or wind turbines which is costly and will also need a lot of space.
The ultimate energizer causes you to be calm about the electricity bill. This well ordered guide shows you how to manufacture this claim “home energy gadget” today impeccably. This will dispose of your energy charge ensured.
It is lost to the earth which means we need to really take care of it in order to reduce the cost of energy bills which introduces the ultimate energizer guide.
About The Ultimate Energizer Creator
The creator of the complete the ultimate energizer guide is steven perkins. He found the journal of the founder of this technology in his home when his father shifted near quebec city in canada.
In this post, we will review the ultimate energizer whose creator claimed to offer a way through which you can generate non-stop current. According to the author, you can drop down your electricity bills by 80%.
Of course the ultimate energizer owners provide resources. But the truth is that you are a master creator. All of them have that talent in us. The only difference is the extent to which it is hidden in each of us.
Features of The Ultimate Energizer
The features of the ultimate energizer guide are as follows:-. This program guide will help you to design a the ultimate energizer generator which will follow the rules of linear induction motor which is built around a track that is orbicular to maintain the smooth motion of rotors that are transportable.
You can find here, a extensive review which highlights all the important features and performance criteria of the ultimate energizer. Use of the the ultimate energizer is very easy since all of the functions can be accessed in a short time; you have complete control over it. 100% money back guarantee shows that the ultimate energizer really works. The ultimate energizer gives full customer support for 7/24/365, also, features, credibility and the ultimate energizer’s ease of use are favorably satisfied by the buyers.
Use it on any electrical appliances from small clocks to big plasma tv screens, refrigerators, and air conditioners. Power the cabins while hiking to the mountains or camping. Other essential features of this complete the ultimate energizer are that it is easy to assemble and does not require a technical background to master engineering.
Pros and Cons of The Ultimate Energizer
I’ve created this honest ultimate energizer review to help you make a well-informed decision. I’ve tested it myself and now i’m going to share with you all the key aspects you may be interested in: how does it work? is it really so powerful and effective? what are its pros and cons?.
It is non-polluting. It remains popular the ultimate energizer guide pros & cons because it is both a renewable and clean source of energy. Harnessing solar energy is more than a fine idea it’s currently a reality in thousands of homes in a lot of nations around the world.
On the review of the ultimate energizer guide, we will be looking into what exactly the program is all about, the details of the energy generator program, the benefits, pros & cons and our conclusion on the program.
Does The Ultimate Energizer really work?
The device is usable during emergencies. It works without fuels and therefore there are no expected fumes. It is weather proof. Cons of the ultimate energizer. You can only download the program from the official website.
But the ultimate energizer reviews that are available from real users online on platforms like google and youtube seem to confirm that the device does indeed work. So, as per my ultimate energizer review answer to the question is the ultimate energizer legit? is definitely yes.
The ultimate energizer guide. The ultimate energizer is said to work for your home and cut electricity by 82%, guaranteed by tomorrow. The ultimate energizer reviews. It can boost any type of electricity by as much as 5 times.
Advantages of The Ultimate Energizer Program
The program can benefit you in many ways. Below we are listing the advantages of using the ultimate energizer program for generating electricity:. This device will help you save up to 60%-70%, without investing money in solar panels which can cost you a lot of money.
There are additional the ultimate energizer guide program advantages too, including advantages at tax time, so do your homework on what you might have for being a solar power pioneer contributed back.
Why The Ultimate Energizer is Useful?
The ultimate energizer is a complete guide and blueprint. With it, you get everything you need to know to build your own free energy generator. This generator can be completed for less than $50 if you have some tools already. But i remember reading another review of the ultimate energizer, and the guy said he took days. Maybe he was crafty. Then, you assemble it and get it to work.
You will be guided step by step, that anybody who can read can build it. You do not need prior building experience or massive strength; it is that easy. Building the ultimate energizer takes under 4 hours if you are slow and definitely a lot less when you have help.
The ultimate energizer has already changed the lives of over 30,000 families who chose to power their homes using this eco-friendly device. This is definitely a good investment that is worth your time and money and if you think it isn’t after trying it out, you can request for a refund.
Is The Ultimate Energizer a Scam?
The ultimate energizer guide really show you how to power your house and save tremendously, or is this just another overhyped scam? this system was created after its owner decided he wanted to have a home power generating system in case of any crises or disasters.
The ultimate energizer pdf. It does not need any conventional electric power. The ultimate energizer scam. In this program, you can also build more generator and sell for profit. This product can also be incorporated into the automobile to power an electric motor.
All you need is an open mind and a desire to try new things to get a life in the field of freedom of energy. So, what are you waiting for? it’s time to say goodbye to major energy companies and start using the ultimate energizer guide today.
Watch this video demonstration of the ultimate energizer guide put into action
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