Tesla’s Q3 2024 report on Wednesday shows solid growth across vehicle deliveries, profitability, and energy deployments.
Total revenue reached $25.2 billion, an 8% increase from last year, while GAAP net income rose to $2.2 billion, marking a 17% improvement. Tesla’s free cash flow stood at $2.7 billion, demonstrating strong financial management. The company also improved its gross margin to 19.8%, with automotive production costs reduced to approximately $35,100 per vehicle, which is pretty darn impressive.
Operationally, Tesla produced 469,796 vehicles and delivered 462,890, reflecting a 6% increase year-over-year. The Model Y and Cybertruck were standout performers, with the latter becoming the third-best selling EV in the U.S. market.
Tesla’s energy business achieved a record gross margin of 30.5%, with Powerwall 3 deployments at an all-time high and Megapack production steadily increasing.
Tesla’s production network spans multiple regions, including Fremont, Shanghai, Berlin, and Texas. With a combined capacity exceeding 2 million vehicles annually, the company remains on track to introduce more affordable models based on its next-generation platform in early 2025.
It seems Wall Street is happy with Tesla’s Q3 earnings report. Shares of the stock are up 11.68% in after-hours trading.
Additional Highlights from Q3 2024 Report
Tesla celebrated the production of its 7 millionth vehicle at the Fremont factory, underscoring continued growth across its operations.
In the U.S., the refreshed Model 3 ramped up successfully, and Cybertruck production increased, reaching a positive gross margin for the first time. The Semi factory is progressing as planned, with production expected to start by the end of 2025. Meanwhile, Giga Shanghai marked its 3 millionth vehicle and 1 millionth export. In Europe, the Model Y became the top-selling vehicle across Sweden, the Netherlands, Denmark, and Switzerland.
Tesla’s advancements in AI and hardware included the release of FSD Supervised 12.5, improving safety and comfort with a fivefold increase in parameters. The company also rolled out Actually Smart Summon and debuted full highway driving on Cybertruck with FSD Supervised. Training on a 29,000 H100 GPU cluster is underway at Giga Texas, with plans to expand to 50,000 H100 units by the end of October.
The summer software release introduced features such as Parental Controls, YouTube and Amazon Music apps, a hands-free frunk, and weather forecasting. In manufacturing, Tesla unveiled the Cybercab and Robovan, designed for full autonomy. Cybercab will feature Tesla’s most efficient powertrain to date, offering 5.5 miles per kWh. Tesla also celebrated producing its 100 millionth 4680 battery cell and made progress on dry cathode manufacturing.
Tesla’s energy division continues to grow, with the Lathrop Megafactory achieving a production rate of 200 Megapacks per week and Powerwall deployments setting new records for the second consecutive quarter. Over 100,000 Powerwalls are now enrolled in Virtual Power Plant programs, providing value to customers and supporting the grid.