Tesla beats on earnings and sales even as auto revenue declines
Tesla reported third-quarter results as its vehicle revenue fell, while the company also faces questions about a possible SpaceX combination.
TL;DR
- Tesla reported third-quarter net income of $787 million, down 44% year over year, while revenue was roughly flat at $28 billion.
- Adjusted earnings per share of 48 cents exceeded analyst expectations, even as revenue fell slightly short of forecasts, according to the Associated Press.
- Elon Musk said special committees at Tesla and SpaceX were considering a possible combination, but both companies still face hurdles and no deal has been announced.
Tesla reported third-quarter net income of $787 million, or 22 cents per share, down 44% from the year-earlier period, the Associated Press reported. Revenue was approximately $28 billion and broadly flat, slightly below analyst forecasts. [1] [2]
Adjusted earnings per share were 48 cents, beating analysts’ expectations by 3 cents, according to AP. CNBC reported that Tesla beat on earnings and sales even as automotive revenue declined, highlighting mixed performance across the business. [1] [2]
The results arrived as Elon Musk said special committees at Tesla and SpaceX had been set up to discuss a possible combination. Musk cautioned that significant hurdles remained, and the companies had not announced an agreement. [1] [3]
Tesla shares moved higher after the results in after-hours trading, AP reported. The filings and earnings call provide the confirmed quarter results; the timing, structure and feasibility of any Tesla-SpaceX transaction remain unresolved. [1] [2] [3]
Why it matters
Tesla’s results combine a reported earnings beat with weaker automotive revenue, so headline earnings alone do not describe the operating picture. A potential combination with SpaceX adds a separate governance and capital-allocation question, but remains exploratory.
Editor's note
Quarter figures are attributed to company reporting and AP/CNBC coverage; the possible combination is not a completed transaction.