Tesla appoints new CFO
Yesterday, Tesla (TSLA) revealed in its SEC filing revealed that it appointed a new CFO to replace former CFO Deepak Ahuja. The company’s new CFO, Zachary Kirkhorn, has worked at Tesla’s finance department since March 2010 with a two-year gap for an MBA degree from Howard Business School.
The new chief accounting officer
In its SEC filing, Tesla also disclosed that it appointed Vaibhav Taneja as its chief accounting officer on March 13. Before this appointment, Taneja had been working at the company as corporate controller since May 2018.
During its fourth quarter of 2018 earnings conference call on January 30, Tesla CEO Elon Musk announced that Tesla’s CFO, Deepak Ahuja, would be leaving the company soon. Some Wall Street analysts reacted negatively to the news. An AB Bernstein analyst called Ahuja’s retirement a “significant loss of institutional knowledge” while a Goldman Sachs analyst noted that “the changeover may cause some uncertainty for investors,” CNBC reported.
Model Y unveiling
Later today, Tesla is set to unveil its highly anticipated Model Y at 8:00 PM PT. On March 3, in a series of tweets, Musk confirmed that the Model Y would be Tesla’s second SUV, alongside its premium SUV, the Model X. The Model Y is likely to help Tesla compete with its Chinese rival NIO’s (NIO) ES6 and ES8 electric SUV models.
Over the last three years, demand for pickup trucks and SUVs has sharply risen. This sales trend has helped mainstream automakers (IYK) such as General Motors (GM), Ford (F), Fiat Chrysler (FCAU), Toyota (TM), and Honda (HMC) to protect their profitability as SUVs and pickup trucks tend to yield higher profit margins than passenger cars.