Tesla’s Losses Deepen

Tesla Motors Inc.'s net loss in the fourth quarter of 2014 rose to $118 million from $16 million a year earlier, dragged down by lagging sales in China and launch costs associated with its upcoming Model X electric crossover.

Revenue in October-December soared 55% to $957 million on sales of the company's high-performance Model S electric sedan. Tesla says it achieved its production goal of 35,000 cars in 2014. But deliveries fell to 9,800 in the fourth quarter, causing the company to fall slightly short of its already-lowered sales target of 33,000 vehicles.

For the full year, Tesla's revenue jumped 59% to $3.2 billion. The company's net loss deepened to $294 million from $74 million in 2013.

CEO Elon Musk tells shareholder he expects Tesla will improve production, revenue and earnings this year as the Model X debuts in autumn. The company hopes to boost deliveries this year to 55,000 units, up 5,000 vehicles from its previous forecast.

Musk has been frustrated by Tesla's slow sales in China. He had expected volume there this year would equal that of the American market. But sources tell Reuters the company sold only 120 cars in China last month.

Tesla confirms that June Jin, its vice president of communications in China, has left the company. Her departure follows that of the unit's president in December.