Tesla reported a challenging Q4 FY2025 with declining automotive revenues and operating income, impacted by lower vehicle deliveries and increased operating expenses. However, the company saw strong growth in its Energy Generation and Storage segment and made progress on its AI and robotics initiatives, positioning for future growth.
Energy generation and storage revenue grew 25% YoY to $3.84B.
positiveServices and other revenue grew 18% YoY to $3.37B.
positiveTotal GAAP gross margin improved to 20.1% from 16.3% in the prior year quarter.
positiveQuarter-end cash, cash equivalents and investments increased 21% YoY to $44.1B.
positiveTotal revenues decreased 3% YoY to $24.9B.
negativeTotal automotive revenues decreased 11% YoY to $17.7B.
negativeIncome from operations decreased 11% YoY to $1.4B, with operating margin compressing 50 bps YoY to 5.7%.
negativeGAAP net income attributable to common stockholders decreased 61% YoY to $0.84B.
negativeDiluted EPS (GAAP) decreased 60% YoY to $0.24.
negativeTotal production decreased 5% YoY to 434,358 vehicles.
negativeTotal deliveries decreased 16% YoY to 418,227 vehicles.
negativeMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Automotive sales | N/A | — | — | — |
Energy generation and storage | N/A | — | — | — |
Services and other | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Our approach to autonomous vehicles and humanoid robots mirrors the way we approached electric vehicles and energy storage – at the system level where we identify the limiting factor and develop bespoke and scalable solutions to optimize for cost, functionality, efficiency and safety.
Our vertical integration has enabled us to achieve economies of scale in a profitable manner, quickly troubleshoot bottlenecks in production and iteratively optimize our technologies more rapidly than others.
We believe that maintaining an optimized and efficient product portfolio, with a continued focus on high-value features such as long range, best-in-class software and autonomy, is the correct strategy to win the autos market of the future.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.