Sunday , August 18 2019
Home / unitedstates / Tesla shares drop sharply after Musk says CFO Ahuja is leaving … again

Tesla shares drop sharply after Musk says CFO Ahuja is leaving … again



Moving into the CFO role at the electric vehicle maker is Zach Kirkhorn, previously the company's vice president of finance. Ahuja said, "I feel really good about Zach taking over. He's proven his self over the years with many tough challenges he worked on."

Musk announced the change at the end of a conference call with analysts discussing the company's fourth-quarter earnings results.

Kirkhorn said, "I've been deep in the operations of every major program of the company from Roadster to … scaling our energy business and more things to come in. I feel that we're starting 2019 with a very strong financial foundation. cash to start new programs and develop new technologies. " Prior to his joining Tesla in 2010, Kirkhorn was a business analyst at McKinsey & Co.

Kirkhorn has rapidly risen to the role of CFO, especially at a company with a market capitalization over $ 50 billion.

A former Tesla employee said Elon Musk ignored Kirkhorn's prudent financial advice at least once. The CEO wanted to allocate some $ 7 million to an automation project at the company's Fremont factory. Once Musk forgot about the appealing new equipment, which Kirkhorn viewed as non-essential, the funds were used to cover overages on other projects already under way.

On the earnings call Wednesday, Musk said Ahuja will "continue to be at Tesla for a few more months, and will continue to serve as Senior Adviser to Tesla for years to come."

Ahuja first joined Tesla as CFO at the worst possible time: July 2008. He was with the company when it went public in 2010.

Tesla's finance team has seen a high turnover last year with one chief accountant, Dave Morton, spending less than a month at the company.

Other long-time veterans have been resigning from Tesla in the past six months, including Charles Mwangi, senior engineering director who has been with Tesla since 2012, and one of Tesla's first ever sales hires, Jeremy Snyder, who left his role as head of global business development in August, according to his LinkedIn profile.


Source link