But the electric vehicle maker's stock was also up 1 per cent in extended trade after Musk said Tesla was on track to produce 5,000 Model 3 sedans per week by the end of June, in line with his previously stated goal.
Responding to a question about compact [Golf size] and sub-compact [Fiesta size] cars, Musk told the Tesla shareholders' conference: "I think we'll do a compact vehicle in less than five years".
Elon Musk expressed confidence about Tesla achieving the next production goal for its crucial Model 3, predicting that manufacturing will become a strength for the electric auto maker over time. The vehicle starts at $35,000, but now, only the $44,000 version with a long-range battery is available.
But the company added that "production bottlenecks" had left it behind on its planned ramp-up for the Model 3.
Kimbal Musk - who now sits on Tesla's board - would lie to his older brother about the time, telling the future billionaire that the bus would be arriving, several minutes ahead of schedule.
Tesla's shareholders were asked to vote on a proposal by one stockholder that the company's chair be an independent director, not Elon Musk, who has been chairman since 2004 and is also the chief executive officer. "But I think we're getting there".
Although Musk hasn't yet said how much the Model Y will cost when it goes on sale, he added Tuesday that the automaker expects to cross a key battery-cost threshold of $100-per-kilowatt-hour later this year.
The shareholders he represents want Tesla to succeed, he said, "but the current board is an obstacle, not an aid, to these goals".
(Musk is heavily involved in both SpaceX and The Boring Company, of which he is the founder and CEO of both.) Zhao's proposal noted the multi-company CEO could simply be spread too thin for the benefit of Tesla. The goal, said Musk, is to be able to go nearly anywhere on earth using the Tesla Supercharger system. It now looks as though 5,000 per week is going to be achieved before the end of June. The company's structure requires two-thirds backing for a shake-up.