In Tesla’s Q2 2016 financial statement released today, the company reported a net loss of $293 million (~£220 million) for the quarter, making it Tesla’s 13th straight quarterly loss. (By Generally Accepted Accounting Principles, or GAAP, the company lost only $150 million. GAAP standards account for certain things on a car company’s balance sheet, like leased vehicles, differently than non-GAAP bookkeeping does.)

Despite the loss, revenue for the company was up 31 percent year-over-year, with GAAP revenue coming in at $1.3 billion (~£1 billion) for Q2 and non-GAAP revenue at $1.6 billion.

Still, during Tesla’s Q4 2015 earnings call, Tesla CEO Elon Musk promised that the electric vehicle company would be profitable before summer. But production issues have continued to plague the company, although Musk and Telsa Vice President of Finance Jason Wheeler were adamant that the company is out of the woods on production issues, despite missing production goals in Q2.

“We’re clearly disappointed with our delivery numbers, but there are some underlying stories,” Wheeler said on the call this afternoon, noting that the company had aggressively ramped up production in the last four weeks of the quarter and has been producing 2,000 cars per week since then. “We’re trying to balance the mix half and half between SUVs and sedans,” Musk said, adding about production, “I’m not losing sleep at night.”

Tesla delivered 14,402 new vehicles in Q2—9,764 Model S and 4,638 Model X cars—although it had originally projected 17,000 deliveries in Q2 2016. The company has said its goal is to produce 50,000 cars in the second half of 2016.

Musk and Wheeler, as well as Tesla CTO JB Straubel, took the opportunity to praise the improvements Tesla has been making in manufacturing and factory logistics, a talking point the company has been pushing recently as its massive Gigafactory in Nevada opens and as time until Model 3 production needs to start ticks away. “Labor hours per car is trending quite positively right now,” Wheeler said, later adding, “if we can execute on our production and delivery goals in the second half of the year we have a great chance of being profitable.”

Musk went with a description more rooted in fantasy, saying that he wants to make his factories look like an “alien dreadnought,” reiterating his desire to perfect “the machine that makes the machine.”

Despite the executives’ forward-looking statements, Musk also tried to put the company’s position in perspective. “In 2010 we were making 600 cars a year” with Lotus’ help, the CEO said. “Five years later we’re making 50,000” with no partner, he said.

Besides falling short on its auto delivery goals, what seems to have tripped Tesla up this quarter is that operating expenses were up 8 percent from the quarter before, and the company had a planned increase in research and development for the upcoming Model 3 on its balance sheet. Although there was little news about the anticipated mass-market electric vehicle, a press release from Tesla noted that the company had completed the design phase for the car and was now in a “tooling, production planning, and validation” phase.

Musk said that he felt the production of the Model S and Model X had stabilized and noted that now, “the focus is really on Model 3, followed by full autonomy.”

Late last month, Tesla split with Mobileye, the company that made Tesla's sensors for autonomous functions. The split came a few months after a Tesla in autonomous mode was involved in a fatal crash. On today’s call, Musk deflected a question about what will replace Mobileye, but added, “we’ll have a more significant announcement on that later, it will be a Tesla solution, [an] internal solution.”

Musk also said that deliveries of Tesla’s Powerwall, a consumer-focused stationary battery storage solution that was introduced last year, would increase substantially in November and December.

Finally, the CEO had some strong words for the California Air Resources Board (CARB), which has historically incentivized zero-emissions vehicle makers with credits that can be traded among automakers to boost the production of eco-friendly vehicles. Tesla sold $170 million worth of such credits to less eco-friendly auto makers last year, but Musk said today that the price Tesla can command for the credits is too low and gives other automakers a pass. “CARB is being incredibly weak in its application of credits,” he said. “As a result you can barely sell a credit for pennies on the dollar. CARB should damn well be ashamed of themselves.”

Tesla's executives notably did not spend much time on the company's proposed deal with SolarCity, which was announced this week and is awaiting shareholder and SEC approval. The deal would make the solar panel company a part of Tesla for $2.6 billion in an all-stock deal, if it's approved. Many have eyed the deal with skepticism, especially as Tesla seems to be missing production goals and has the design and production of the Model 3 to tend to. But Tesla has maintained that a SolarCity merger is a natural fit.