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Polestar 3 prototype scores positive reviews ahead of deliveries Polestar 3 prototype scores positive reviews ahead of deliveries

Investor's Corner

Polestar’s Q3 revenue and gross profit skyrocket, operating loss trims by 33%

Credit: Polestar

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Polestar’s (NASDAQ: PSNY) position as one of two global, pure electric vehicle makers was solidified with a strong Q3 earnings report that featured skyrocketing revenue and gross profit figures and an operating loss that was reduced by one-third. The Swedish automaker reiterated its 50,000-vehicle delivery goal, expecting Q4 to be its strongest three-month showing in company history.

Polestar’s revenue skyrocketed in Q3 from $748 million in 2021 to $1.477 billion this year. The growth was mainly driven by higher Polestar 2 sales and continued commercial expansion across markets. Revenue per vehicle decreased slightly, Polestar said, attributing the slight reduction to product and market mix.

Polestar is currently recognizing its active markets as Australia, Austria, Belgium, Canada, China, Denmark, Finland, Germany, Hong Kong, Iceland, Ireland, South Korea, Kuwait, Israel, Italy, Luxembourg, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the UAE, U.K., and the USA.

Gross profit also grew considerably compared to the same quarter in 2021. Polestar reported a $57 million gross profit in Q3 2022, up from just $1 million last year. This was a result of higher Polestar 2 sales and lower manufacturing costs, which come as companies scale the production of their vehicles. The gross profit growth was slightly offset by “the continued deterioration of the Swedish Krona versus Chinese Renminbi which led to higher cost of sales,” the automaker said.

Polestar accomplished five feats in Q3, including the launch of the Polestar 3, which was met with mixed reviews due to its stylish and competitive design that also features less-than-admirable efficiency. The event provided a spike to the company’s website, only succeeded by user visits following the Superbowl ad the company ran in February.

Polestar is reaching its 100,000-vehicle production milestone for the Polestar 2 in the near future. The company expects to meet this threshold in Q4 as it expects to deliver at least 19,500 vehicles in 2022’s final quarter. Polestar said it expects Q4 to be its biggest quarter to date as manufacturing growth continues to help the company solidify itself as a major player in the market.

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The company’s $1.48 billion in revenues through the first nine months of 2022 only transitions into the $2.4 billion that Polestar expects to deliver for the full year. This is an estimated increase of 80 percent compared to 2021. It also obtained an additional $1.6 billion in financing and liquidity packages from major shareholders, which will, in addition to other potential financing activities, provide Polestar will sufficient funds to operate through 2023.

Polestar reduced SG&A expenses by 10 percent compared to Q3 2021, from a loss of $199 million to $179 million, and R&D expenses by 51 percent, from a loss of $51 million to a loss of $25 million. It also trimmed its operating loss by one-third compared to Q3 2021. These numbers tell a different story from the first nine months of 2021 compared to the same period this year.

SG&A was up 31 percent for the first nine months of 2022 compared to the same period in 2021. This was due to “rapid commercial expansion and significantly increased global presence.” R&D expenses were down 22 percent due to lower amortization. Meanwhile, operating loss was up 64 percent, “reflecting investment in the business growth and a $372 million non-recurring, non-cash listing expense.”

Polestar has launched production of the Polestar 3 and plans to start deliveries sometime early next year. It will also launch the Polestar 4 in early 2023, it said.

Polestar shares were up nearly 20 percent at the time of publishing, trading at $5.44 per share.

Disclosure: Joey Klender is not a Polestar investor or shareholder.

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I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Elon Musk

Elon Musk will give ‘every kid in America’ a SpaceX share in 2027

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Credit: Grok Imagine

Elon Musk said he is planning to give “every one of his SpaceX shares to every kid in America” in 2027, stating that “this will be the first of many.”

SpaceX went public earlier this year, and its stock price has been relatively stable since leveling off shortly after its IPO. Based on its current price, it’s a gift of just over $10 billion to children across the United States.

It appears to be closely related to President Donald Trump’s bank accounts for children, which were set up earlier this year as Trump Accounts.

Just hours earlier, Anthropic had announced the establishment of its Anthropic Public Benefit Fund, “a new wholly-owned entity dedicated entirely to public benefit.” Musk responded by stating he recommended “giving the shares directly to the public,” and that he would be doing it that way.

Just a little bit later, Musk said children across the U.S. would be getting a share from him:

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There are roughly 70 million children, meaning someone under the age of 18, in the United States, according to the Federal Interagency Forum on Child and Family Statistics. Musk’s ownership of SpaceX stock shows he has around 849 million Class A shares of SpaceX stock, according to filings with the SEC.

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Investor's Corner

SpaceX’s biggest earnings test yet lands Tuesday, and Tesla shareholders should be watching

SpaceX reports earnings Tuesday as Wall Street watches AI spending, Starlink growth and Tesla merger

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SpaceX reports third quarter results after the market closes Tuesday, with a webcast at 4:30 p.m. ET streamed on X, and Tesla follows a day later. Bloomberg consensus, cited by Pepperstone, calls for revenue of $12.89 billion, adjusted EBITDA of $6.62 billion and adjusted EPS near $0.15. That would be about 65% growth from the second quarter and SpaceX’s first profitable quarter since its IPO. Analysts expect roughly $6.4 billion from AI and $4.9 billion from Starlink, which is projected to reach 14.3 million consumer subscribers. Capital spending is forecast at $19.6 billion, leaving free cash flow near negative $11.6 billion.

The numbers matter because SpaceX has spent months trying to win over a skeptical market. It priced its record IPO at $135, spiked to $225.64, then sank near $105 in early August. Friday’s close of $146.03 sits about 28% below the June high. The Q2 report beat on revenue at $7.8 billion and put Starlink at 12 million subscribers, but $18.4 billion of capex hurt the stock. Since then SpaceX reached orbit on Starship Flight 14 with 26 Starlink V3 satellites, agreed to buy 800 MHz spectrum for about $8 billion as part of its Starlink Mobile push, and signed a fourth compute hosting deal in four months worth roughly $13 billion a year from December. Management is targeting more than 2 gigawatts of compute by year end and a $100 billion annualized revenue run rate. Evercore ISI, which raised its target to $275, said the quarter may be judged more on those targets than the reported figures

All of this sits under the Tesla merger question. Barclays analyst Dan Levy expects an all stock deal in which SpaceX buys Tesla at a premium, using reference values of $2.1 trillion and $1.5 trillion, and said an announcement would need to come by late October or early November to be voted on at Tesla’s December 6 annual meeting. Barclays estimates Musk would hold about 37% of the combined company and 56% of the votes. Musk said in July that combining companies cannot be discussed on an earnings call, but an investor question asking when SpaceX will merge with Tesla is sitting on SpaceX’s Q&A platform, and Teslarati has tracked how the Roadster demo revived the talk.

If a deal happens, Tuesday’s result would effectively set the price Tesla holders would receive. Their shares would convert into SpaceX stock, along with exposure to a company with a heavy investment on AI, while Tesla itself expects 2026 capex above $25 billion. A strong quarter and calmer spending would make that exchange easier to sell. Another round of heavy capex and a falling stock would make it harder.

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Investor's Corner

Tesla’s flying Roadster just revealed something bigger than the car

Analysts say the Roadster demo puts a Tesla and SpaceX merger back on the table.

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Tesla’s new Roadster, upside down and trailing cold gas thruster smoke, flips over a lineup of Tesla vehicles at the Roadster unveiling near Waco, Texas on October 15, 2026. (Image: Tesla)
Tesla’s new Roadster, upside down and trailing cold gas thruster smoke, flips over a lineup of Tesla vehicles at the Roadster unveiling near Waco, Texas on October 15, 2026. (Image: Tesla)

The Roadster unveiling near Waco ended Thursday night, and by Friday morning much of the investor reaction had less to do with the car than with who owns the rocket technology inside it.

Wedbush analyst Dan Ives said the event “puts the Tesla/SpaceX relationship on the table in a tangible way,” pointing to the propulsion, pressure vessel and control hardware sitting on a Tesla product. Gene Munster of Deepwater Asset Management called the demo “a ridiculous display of engineering” with “no commercial value” beyond embarrassing traditional automakers, though he said it showed Musk wants the two companies together.

The more specific forecast came a day earlier from Barclays. Analyst Dan Levy told clients a deal could be announced before Tesla’s annual meeting, which must happen by December 6, and that an announcement in late October or early November could make shareholder approval harder. Barclays expects SpaceX to be the buyer in an all stock deal, with Tesla holders receiving SpaceX shares at a premium, based on market values of roughly $2.1 trillion for SpaceX and $1.5 trillion for Tesla. If nothing lands around the meeting, the bank still sees an announcement within 6 to 12 months.

The Roadster demo just added more weight to merger speculations. Tesla’s demo used cold gas thrusters and pressure tanks of the kind SpaceX uses on Falcon 9, and Musk described the car as a collaboration between Tesla and SpaceX engineers, as we mentioned in our breakdown of the three Roadster configurations.


Musk has not publicly addressed a deal since the event, as far as we have seen. His most direct answer remains the one he gave at the All In Summit, when he said that with so much collaboration, “who can imagine what action one might take” without ruling anything out. Ives has held to a 2027 timeline since his March note, and Musk pushed back on the China piece of the speculation when ARK floated a year end announcement in August.

The next test is Tesla’s third quarter earnings call on October 21. However, we recall in July that Musk told analysts, “we can’t talk about combining companies and that kind of thing on an earnings call,” so a clear answer wouldn’t be expected.

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