Tesla Q2 Revenue at $28.24 Billion, EPS at $0.33, Free Cash Flow Turns Negative at $1.1 Billion

Tesla has released its second-quarter financial report, with revenue of $28.24 billion, exceeding market expectations of $25.71 billion and representing a year-on-year increase of 26%. Adjusted earnings per share (EPS) were $0.33, below the expected $0.51. Net profit was $1.11 billion, a 5% decrease compared to the same period last year. The gross margin fell to 16.8%, down from 17.2% a year ago and below the market expectation of 19.4%. Operating expenses increased by 47% year-on-year to $4.35 billion, and the operating profit margin dropped from 4.1% to 1.4%, primarily due to investments in AI and R&D. Free cash flow turned negative at $1.1 billion, compared to a positive $146 million in the same period last year, with capital expenditures surging 142% year-on-year to $5.79 billion. The company stated that investments in capacity building, AI computing power, battery materials, and semiconductor manufacturing infrastructure are ongoing. Revenue from the automotive business was $20.52 billion, a 23% year-on-year increase; energy business revenue was $3.14 billion, up 13%; and revenue from services and other businesses was $4.58 billion, a 50% increase. The number of FSD subscription users reached 1.48 million, a 56% quarter-on-quarter increase. Tesla's stock price has fallen approximately 17% year-to-date.

Disclaimer: This content is provided for general branding and informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online events, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets or to use any services. Crypto assets are highly volatile and may result in loss. WEEX services and online events may not be available in all regions and are subject to applicable laws, regulations, and eligibility requirements. You are responsible for ensuring that your use of WEEX services complies with local laws and for carefully assessing the risks before participating in any crypto-related activities.