Tesla Q1 Net Profit Rises 17% YoY; Full-Year Capex to Exceed $25 Billion

Tesla reported first-quarter 2024 revenue of $22.39 billion, up 16% year-over-year. Automotive revenue reached $16.2 billion, also rising 16% year-over-year, while energy and storage segment revenue totaled $2.4 billion, down 12% compared to the same period last year. The company did not specify the exact reasons for the stagnation in energy storage growth but projected that energy storage deployments in 2024 would exceed those expected for 2025. Net income for the quarter was $477 million, an increase of 17% year-over-year. Excluding regulatory credit sales, automotive gross margin stood at 19.2%, higher than any quarter in 2023, primarily driven by higher average selling prices and lower per-vehicle costs due to declining raw material expenses. Tesla delivered 358,023 vehicles in the first quarter—down sequentially but up approximately 6% year-over-year. Deliveries in the same period last year had been impacted by a multi-week production halt caused by Model Y line upgrades. The company announced that its 2024 capital expenditures will exceed $25 billion—roughly triple the amount spent in 2023 and higher than its previous forecast of around $20 billion. The funds will be used to expand manufacturing capacity and support development of the Optimus humanoid robot, artificial intelligence initiatives, and the Cybercab autonomous vehicle. Tesla stated it is laying the groundwork for significantly higher future vehicle production volumes. The earnings report also noted sustained demand growth in parts of Asia and South America, alongside a rebound in North America, Europe, and the Middle East. Products such as the Cybercab, Semi electric truck, and the upgraded Megapack energy storage system remain on track for planned production ramp-up.