Tesla Releases Third Quarter 2024 Financial Results

AUSTIN, Texas--(BUSINESS WIRE)-- Tesla has released its financial results for the third quarter of 2024 by posting an update on its Investor Relations website. Please visit https://ir.tesla.com to view the update.

As previously announced, Tesla management will host a live question and answer (Q&A) webcast at 4:30 p.m. Central Time (5:30 p.m. Eastern Time) to discuss the results and outlook.

What: Tesla Third Quarter 2024 Financial Results Q&A Webcast
When: Wednesday, October 23, 2024
Time: 4:30 p.m. Central Time / 5:30 p.m. Eastern Time
Q3 2024 Update: https://ir.tesla.com
Webcast: https://ir.tesla.com (live and replay)

The webcast will be archived on the company’s website following the call.

Summary

We delivered strong results in Q3 with growth in vehicle deliveries both sequentially and year-on-year, resulting in record third-quarter volumes. We also recognized our second-highest quarter of regulatory credit revenues as other OEMs are still behind on meeting emissions requirements.

Our cost of goods sold (COGS) per vehicle came down to its lowest level ever at ~$35,100. In order to continue accelerating the world’s transition to sustainable energy, we need to make EVs affordable for everyone, including making total cost of ownership per mile competitive with all forms of transportation. Preparations remain underway for our offering of new vehicles — including more affordable models — which we will begin launching in the first half of 2025. At our "We, Robot" event on October 10, we detailed our long-term goal of offering autonomous transport with a cost per mile below rideshare, personal car ownership, and even public transit.

The Energy business achieved another strong quarter with a record gross margin. Additionally, the Megafactory in Lathrop produced 200 Megapacks in a week, and Powerwall deployments reached a record for the second quarter in a row as we continue to ramp Powerwall 3.

Despite sustained macroeconomic headwinds and others pulling back on EV investments, we remain focused on expanding our vehicle and energy product lineup, reducing costs, and making critical investments in AI projects and production capacity. We believe these efforts will allow us to capitalize on the ongoing transition in the transportation and energy sectors.

Profitability

• $2.7B GAAP operating income in Q3
• $2.2B GAAP net income in Q3
• $2.5B non-GAAP net income in Q3

Cash

• Operating cash flow of $6.3B in Q3
• Free cash flow of $2.7B in Q3
• $2.9B increase in our cash and investments³ in Q3 to $33.6B

Operations

• Increased AI training compute by over 75% in Q3
• Cybertruck became the third best-selling EV in Q3 in the U.S. (behind only Model Y and Model 3)
• Over two billion miles driven cumulatively on FSD (Supervised) as of Q3 with more than 50% on V12

FINANCIAL SUMMARY

Revenue Total revenue increased 8% YoY in Q3 to $25.2B. YoY, revenue was impacted by the following items:

• + growth in vehicle deliveries
• + growth in Energy Generation and Storage and Services and Other
• + higher FSD revenue recognition YoY for releases related to Cybertruck and certain features such as Actually Smart Summon
• + higher regulatory credit revenue
• - reduced S3XY vehicle average selling price (ASP) (excl. FX impact), due to mix, pricing and attractive financing options

Profitability Our operating income increased YoY to $2.7B in Q3, resulting in a 10.8% operating margin. YoY, operating income was primarily impacted by the following items:

• + lower cost per vehicle, including lower raw material costs, freight and duties and other one-time charges
• + growth in Energy Generation and Storage and Services and Other gross profit
• + higher FSD revenue recognition YoY for releases related to Cybertruck and certain features such as Actually Smart Summon
• + growth in vehicle deliveries
• + higher regulatory credit revenue
• + decrease in operating expenses including cost-reduction efforts
• - reduced S3XY vehicle ASP

Cash Quarter-end cash, cash equivalents and investments in Q3 was $33.6B. The sequential increase of $2.9B was primarily the result of positive free cash flow of $2.7B.

Financial Summary	Q3-2023	Q4-2023	Q1-2024	Q2-2024	Q3-2024	YoY
Total automotive revenues	19,625	21,563	17,378	19,878	20,016	2%
Energy generation and storage revenue	1,559	1,438	1,635	3,014	2,376	52%
Services and other revenue	2,166	2,166	2,288	2,608	2,790	29%
Total revenues	23,350	25,167	21,301	25,500	25,182	8%
Total gross profit	4,178	4,438	3,696	4,578	4,997	20%
Total GAAP gross margin	17.9%	17.6%	17.4%	18.0%	19.8%	195 bp
Operating expenses	2,414	2,374	2,525	2,973	2,280	-6%
Income from operations	1,764	2,064	1,171	1,605	2,717	54%
Operating margin	7.6%	8.2%	5.5%	6.3%	10.8%	323 bp
Adjusted EBITDA	3,758	3,953	3,384	3,674	4,665	24%
Adjusted EBITDA margin	16.1%	15.7%	15.9%	14.4%	18.5%	243 bp
Net income attributable to common stockholders (GAAP)	1,853	7,928	1,129	1,478	2,167	17%
Net income attributable to common stockholders (non-GAAP)	2,318	2,485	1,536	1,812	2,505	8%
EPS attributable to common stockholders, diluted (GAAP)	0.53	2.27	0.34	0.42	0.62	17%
EPS attributable to common stockholders, diluted (non-GAAP)	0.66	0.71	0.45	0.52	0.72	9%
Net cash provided by operating activities	3,308	4,370	242	3,612	6,255	89%
Capital expenditures	(2,460)	(2,306)	(2,773)	(2,270)	(3,513)	43%
Free cash flow	848	2,064	(2,531)	1,342	2,742	223%
Cash, cash equivalents and investments	26,077	29,094	26,863	30,720	33,648	29%

View source version on businesswire.com: https://www.businesswire.com/news/home/20241023477682/en/

Investor Relations Contact:

ir@tesla.com

Source: Tesla