"We see a path for Tesla being the most valuable company in the world by far, not even close... that is overwhelmingly due to autonomous vehicles and autonomous humanoid robots."
— Elon Musk
03Detailed Report
TSLA
Tesla Inc
Period
Q4 2024
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedMay 18, 2026
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Executive Summary
In Q4 2024, Tesla Inc. achieved significant milestones, with record vehicle deliveries at an annualized rate of nearly 2 million, driven primarily by the stellar performance of the Model Y, which ranked as the best-selling vehicle of any kind globally. The company reported revenues of $25.71 billion, reflecting a 2.15% year-over-year increase, while net income stood at $2.36 billion. Management emphasized their commitment to enhancing vehicle autonomy and reducing costs, which will be pivotal as they face an increasingly competitive market.
Despite achieving record sales, Tesla's gross profit margin declined to 16.25%, attributed primarily to lower average selling prices (ASPs) and the impact of transitioning to the new Model Y. Elon Musk indicated that investments in manufacturing, AI, and robotics will drive future growth, positioning Tesla as a frontrunner in the electric vehicle (EV) sector and beyond, into sectors such as autonomous humanoid robots.
Key Performance Indicators
Revenue
Increasing
25.71B
QoQ: 2.08% | YoY: 2.15%
Gross Profit
Decreasing
4.18B
16.26% margin
QoQ: -16.37% | YoY: -5.84%
Operating Income
Decreasing
1.58B
QoQ: -41.74% | YoY: -23.30%
Net Income
Decreasing
2.36B
QoQ: 8.72% | YoY: -70.29%
EPS
Decreasing
0.72
QoQ: 5.88% | YoY: -71.08%
Revenue Trend
Margin Analysis
Financial Highlights
### Financial Metrics
- Revenue: $25.71 billion, up 2.15% YoY, 2.08% QoQ.
- Gross Profit: $4.18 billion, gross profit margin at 16.25%, down from previous quarters, reflecting cost pressures and ASP decline.
- Operating Income: $1.58 billion with an operating margin of 6.16%.
- Net Income: $2.36 billion, marking a 70.3% YoY decrease due to previous year’s non-recurring benefits.
- Earnings Per Share (EPS): $0.72, down from $2.49 YoY.
### Cash Flow
- Free Cash Flow: $2 billion for Q4, maintaining healthy cash generation capacity.
- Total Cash and Short-Term Investments: $36.56 billion, providing robust liquidity for continued investment and growth.
### Balance Sheet Health
- Total Assets: $122.07 billion with total liabilities of $48.39 billion, yielding a debt-to-equity ratio of 0.187, indicative of sound leverage management.
- Current Ratio of 2.02 and a quick ratio of 1.61, reflecting strong short-term financial health.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
25.71B
2.15%
2.08%
Gross Profit
4.18B
-5.84%
-16.37%
Operating Income
1.58B
-23.30%
-41.74%
Net Income
2.36B
-70.29%
8.72%
EPS
0.72
-71.08%
5.88%
Key Financial Ratios
Gross Profit Margin
Weak
16.30%
Gross profit margin is below industry norms, profitability concerns
Operating Profit Margin
Fair
6.16%
Operating margin is moderate, room for improvement in cost management
Net Profit Margin
Fair
9.16%
Net profit margin is moderate, room for improvement in cost management
Return on Assets
Weak
1.93%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
3.23%
Return on equity suggests inefficient capital allocation
Current Ratio
Healthy
2.02
Current ratio shows adequate liquidity to meet short-term obligations
Debt to Equity
Conservative
0.19
Debt-to-equity shows conservative leverage and low financial risk
P/E Ratio
High Growth
137.68x
Very high P/E indicates aggressive growth expectations, higher risk
Price to Book
High Premium
17.80x
Very high premium suggests asset-light business model or lofty expectations
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