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Tesla (TSLA) Q3 2024 earnings results

Credit: Tesla

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Tesla (NASDAQ:TSLA) posted its Q3 2024 earnings report after markets closed today. The results, which were discussed in the Q3 2024 Update Letter, were released after the closing bell on Wednesday, October 23, 2024.

During the third quarter, Tesla produced a total of 469,796 vehicles, comprised of 443,668 Model 3/Y and 26,128 other models. Q3 deliveries were listed at 462,890 vehicles, comprised of 439,975 Model 3/Y and 22,915 other models.

Following are the key results of Tesla’s Q3 2024 earnings results.

Revenue

In the third quarter of 2024, Tesla posted total revenues of $25.18 billion, with automotive revenues at $20.02 billion. In comparison, analysts polled by FactSet expected Tesla’s Q3 2024 revenue to hit $25.47 billion. Tesla’s company-compiled consensus listed a total revenue of $25.29 billion. 

Earnings Per Share

Tesla’s non-GAAP earnings per share for the third quarter of 2024 was listed at $0.72, while GAAP EPS for Q3 2024 was listed at $0.62. Analysts polled by FactSet expected Tesla to post a profit of $0.59 per share, while Tesla’s company-compiled consensus listed an estimated EPS of $0.60 per share. 

Profitability

Tesla posted $2.7 billion GAAP operating income in the third quarter. The company also posted $2.2 billion of GAAP net income and $2.5 billion of non-GAAP net income in Q3 2024.

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Cash

Tesla posted an operating cash flow of $6.3 billion in the third quarter, as well as free cash flow (FCF) of $2.7 billion. The electric vehicle maker also noted that it saw a $2.9 billion increase in its cash and investments in the third quarter to $33.6 billion. This is a new record for the company.

COGS

Tesla is already a very efficient automaker, but the company is still optimizing its operations. As per the Q3 2024 Update Letter, Tesla’s cost of goods sold (COGS) per vehicle came down to its lowest level ever at ~$35,100 in the third quarter.

Operational Milestones

Tesla posted a number of operational milestones in the third quarter. As per the Q3 2024 Update Letter, Tesla increased its AI training compute by over 75% in Q3 2024. The Cybertruck also became the third best-selling EV in Q3 in the U.S., just behind the Model Y and Model 3. Moreover, over two billion miles have been driven cumulatively on FSD (Supervised) as of Q3, with more than 50% being on FSD V12.

Below is Tesla’s Q3 2024 Update Letter.

TSLA-Q3-2024-Update by Simon Alvarez on Scribd

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla’s secretive “Project Crystal Sun” gets a big green light in Texas

Fort Bend County approved four incentive agreements Thursday for Tesla’s proposed $10.1 billion solar factory.

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Elon Musk stands in profile against a clear blue sky, with a bright overhead sun shining above a vast landscape of Tesla solar panels stretching to the horizon, and a smaller Texas flag flying on a pole to his right.

Fort Bend County commissioners on Thursday approved a package of tax incentives for Tesla’s proposed $10.1 billion solar cell factory near Needville, Texas, giving the company one of the last local approvals it needs before it decides where to build. All four Tesla agreements passed 4 to 0.

The votes covered a property tax abatement inside Reinvestment Zone No. 34, a Chapter 381 economic development agreement, a foreign trade zone non-objection paired with payments in lieu of certain taxes, and a separate payment in lieu of taxes “true up” agreement, according to agenda notes from the Fort Bend Commissioners Court meeting.

The project, known internally as “Project Crystal Sun,” would make solar cells and finished modules on roughly 3,000 acres near FM 762 and FM 1994, south of the Brazos River. As Teslarati reported when the filing first surfaced in August, Tesla’s application under the state’s JETI Act splits the investment into $1.5 billion in real property and $8.6 billion in equipment, with 9,712 permanent jobs projected by 2033 and commercial operations targeted for the first quarter of 2029. The plant would handle the full chain from ingot and wafer production through cell testing.

Inside Tesla’s secretive $10 Billion “Project Crystal Sun” filing

Thursday’s approval does not lock in the site. Tesla has told the Texas Comptroller it is still weighing other locations, and site selection adviser David Dennison told Lamar Consolidated ISD trustees in September that the race had narrowed to Fort Bend and one out of state rival with a “very compelling package,” according to the Houston Chronicle. Tesla hopes to decide before the end of 2026, and the incentives still need sign off from the Comptroller and the Governor’s office.

Local officials have now done nearly everything within their control. Commissioners created the reinvestment zone in an August 24 special meeting, with Interim County Judge Daniel Wong formally withdrawing himself over his engineering firm’s past work with Tesla. Lamar CISD trustees voted 7 to 0 on September 15 to advance a JETI agreement that would tax Tesla’s qualifying property at 50 percent of its value for maintenance and operations from 2029 through 2038.

The plant lines up with a target Elon Musk set on Tesla’s Q4 2025 earnings call in January, when he said the company would “work toward getting 100 GW a year of solar cell production, integrating across the entire supply chain from raw materials all the way to finished solar panels.” In March, Tesla was reported to be negotiating a $2.9 billion purchase of Chinese solar manufacturing equipment bound for Texas. The Houston area already hosts Tesla’s Megafactory in Brookshire, where Megapack 3 production has started. Tesla said on its Q3 call that Megapack supply for 2027 is nearly sold out, and Musk wrote on X Thursday that the company is “increasing production of Megapacks as much as possible,” as demand from data centers climbs.

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Tesla is building its own maps to fix Navigation issues

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Credit: Tesla

Tesla revealed plans to develop its own maps internally to fix Navigation issues and give owners more control over their routing.

On the company’s Q3 2026 Earnings Call, a question was asked about FSD Navigation issues, particularly speed limit recognition, parking, and routing. These are issues that surface from version to version and seem to be seriously challenging for Tesla’s AI team to resolve.

Tesla’s Head of AI, Ashok Elluswamy, said in response to the question:

“You’re totally right that we shouldn’t be depending on external people’s maps. So we are building our own maps, but not like the same way as OneMoreMap. We are building an entirely new architecture with essentially AI-based mapping and navigation.”

He continued:

“It’s going to be super awesome. It’s going to be integrated with voice. You can talk to it, ask for different routes. It’s going to learn your personalized preferences, plus the fleet preferences. The collective intelligence of all the cars is going to flow into making the maps and navigation super cool.”

Elluswamy said this issue should be confronted, and the mapping should be available for people by the time the v15 release starts deploying to customers.

“And over the next several months,” he added, “it’s just going to take over all of the navigation functions, parking, destination handling. And it will know you better than you know yourself in some regard for the driving task, and then handle it fully.”

Tesla Summon got insanely good in FSD v14.3.2 — Navigation? Not so much

Navigation is perhaps the most notable complaint with FSD, and although it has gotten better, it is still flawed. Much of the time, FSD will take people on routes that are not preferred by the driver, but Tesla tried to combat this with a routing feature in the Summer 2026 Update.

Tesla currently relies on Google for map data, but it is sort of counterintuitive to believe the company would rely on a third party for this. These improvements will be welcome, as routing and navigation have been such a pain point for so many owners for so long.

Quotes via Motley Fool

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Elon Musk

Tesla buyers are buying for Full Self-Driving and not for the car, data shows

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(Credit: Tesla)

Tesla Full Self-Driving (Supervised) showed a record attach rate at delivery for new vehicles in the third quarter of 2026.

75 percent of new vehicle deliveries in North America included a subscription to FSD software, up from 55 percent in the prior quarter, a 20-percentage-point sequential gain in the company’s most mature market.

Tesla Q3 2026 Earnings results: in-line revenues, slight beat on EPS

Tesla shed light on the Q3 Shareholder Deck that 75 percent of new deliveries came with an FSD subscription:

“FSD (Supervised)⁴ attach rate continued to grow, reaching over 75% of new vehicle deliveries in North America – our most mature market – a nearly twenty percentage point sequential increase. We believe that FSD is driving demand in markets where it is available, and we continue to work with regulators to get it approved in other markets. “

The higher attach rate accompanied strong growth in the overall FSD consumer base, as active subscriptions rose to 1.75 million, a 67 percent year-over-year increase. For the first time, more than half of paid customers are on the monthly subscription, which is priced at $99 per month in the U.S.

The transition to subscriptions has accelerated since Tesla discontinued the one-time purchase option in most markets earlier this year. The recurring model improves revenue visibility and margins compared with large upfront payments. With three-quarters of North American deliveries now including FSD, the software is now an evidently large contributor to Tesla’s economics and ancillary revenue.

Geographic expansion remains important for further gains. FSD is now available in nine countries in the EU, and more than 100,000 customers have driven over 160 million kilometers. Tesla is pursuing broader EU-wide approval, with a related vote expected in December. Similar progress in additional markets could support higher attach rates beyond North America.

These results came as Tesla had a strong quarterly delivery performance of 486,532 vehicles in the quarter, which came with its largest passenger-vehicle backlog in four years. Battery supply continued to limit volume, but the company has pointed to FSD as a clear difference-maker that is helping sustain demand. As supervised capabilities improve, the attach rate will likely continue to improve.

At face value, it is a key measure of how Tesla is converting sales into autonomy progress.

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