- Tesla (NASDAQ:TSLA) adds "health epidemics" to the risk factors section of its 2019 10-K filing.
- The electric vehicle maker reopened its Gigafactory Shanghai this month, but the epidemics' effect on global supply chains is unknown "if the epidemic persist for an extended period of time."
- Expenses and delays relating to such events "could have a material adverse impact on our business, operating results and financial condition," the company's filing said.
- On Tesla's earnings call on Jan. 30, 2020, Tesla CFO Zach Kirkhorn said the company expected one- to one-and-a-half-week delay in the ramp of Shanghai built Model 3 due to a government required factory shutdown.
- "This may slightly impact profitability, but is limited as the profit contribution from Model 3 Shanghai remains in the early stages," he said.