Thursday, October 24, 2024

Tesla makes $2.2 billion in profit during Q3 2024

Must read

All of that helped total revenue rise by 8 percent year over year to $25.2 billion. Gross profit jumped by 20 percent to $5 billion, and once generally accepted accounting principles are applied, its net profit grew 17 percent compared to Q3 2023, at $2.2 billion. What’s more, the company is sitting on a healthy treasure chest. Free cash flow increased 223 percent compared to Q3 2023 to reach $2.7 billion, and cash, cash equivalents, and investments grew 29 percent to $33.6 billion over the same time period.

What comes next?

The days of Tesla promising exponential growth in its car sales appear to be at an end, or at least on hiatus until it can deliver a new vehicle platform. The company says that it believes that advances in autonomy will contribute to renewed growth in the future, but these dreams may come crashing down if federal regulators order a costly hardware recall for Tesla’s vision-only system.

An increasingly stale product lineup is slated to grow in the first half of next year, it says. These vehicles will be based on modified versions of Tesla’s existing vehicles built on existing assembly lines, albeit with some features from its “next-generation platform.” Tesla says it has plenty of spare capacity at its factories in California, Texas, Germany, and China, with room to grow “before investing in new production lines.” Meanwhile, the two-seat CyberCab—which Tesla CEO Elon Musk says is due “before 2027“—will use what Tesla calls a “revolutionary “unboxed” manufacturing strategy.

Latest article