Tesla : Q1'26 Earnings Update Letter
TSLA
Published on 04/22/2026 at 04:06 pm EDT
Q1 2026 Update
Highlights 03
Financial Summary 04
Operational Summary 05
Manufacturing & Hardware 06
Supporting Infrastructure 07
AI & Software 08
Services 09
Outlook 10
Photos & Charts 11
Key Metrics 21
Financial Statements 24
Additional Information 30
H I G H L I G H T S S U M M A R Y
Profitability $0.9B GAAP operating income
$0.5B GAAP net income
$1.5B non-GAAP net income1
Cash Operating cash flow of $3.9B Free cash flow2 of $1.4B
$0.7B increase in our cash and investments3
Operations Received approval for FSD (Supervised)4 in Netherlands in April
Launched unsupervised Robotaxi rides in Dallas and Houston in April Began ramping lithium, cathode and LFP production
We continued to make meaningful progress on the build out of the infrastructure and AI
software that underpins our Robotaxi and future robotics businesses in Q1. We commenced ramp of additional AI compute, new factories across battery and battery materials, and further prepared lines for start of production of Megapack 3, Cybercab and the Tesla Semi. We saw continued growth in demand for our vehicles in markets in APAC and South America, while also seeing a rebound of demand in both EMEA and North America.
We are making the necessary investments that will ensure our access to key materials and componentry in each region across vehicle, energy and AI as trade and geopolitics become more uncertain. In recent months, we have announced further regionalization and vertical integration of critical supply chains.
Our focus on affordability and utility across our vehicle lineup continues to be a key competitive advantage, particularly as gas-powered alternatives become more expensive due to their reliance on a more sensitive and less flexible energy supply chain.
We are excited about Tesla's positioning in 2026 with tailwinds persisting for the autos business, our continued progress on FSD (Supervised)4, the ramp of Robotaxi, progress
on Optimus ahead of mass production and the growth of our energy production capacity.
There remains significant effort and hard work to realize our mission of Amazing Abundance. As always, we are focused on maintaining a rapid pace of innovation in new and exciting technologies - such as electrification, cutting-edge software and artificial intelligence -
expanding our lead in advanced manufacturing and increasing supply chain resilience to ensure we manage future risk to our scale. The future is incredibly bright.
3 (1) Excludes SBC (stock-based compensation) & Digital assets gains and losses, net of tax; (2) Free cash flow = operating cash flow less capex; (3) Includes cash, cash equivalents and short-term investments; (4)Active driver supervision required; does not make the vehicle autonomous; Note: all information herein refers to the current quarter unless otherwise noted.
F I N A N C I A L S U M M A R Y
(Unaudited)
($ in millions, except percentages and per share data)
Q1-2025
Q2-2025
Q3-2025
Q4-2025
Q1-2026
YoY
Total automotive revenues
13,967
16,661
21,205
17,693
16,234
16%
Energy generation and storage revenue
2,730
2,789
3,415
3,837
2,408
-12%
Services and other revenue
2,638
3,046
3,475
3,371
3,745
42%
Total revenues
19,335
22,496
28,095
24,901
22,387
16%
Total gross profit
3,153
3,878
5,054
5,009
4,720
50%
Total GAAP gross margin
16.3%
17.2%
18.0%
20.1%
21.1%
478 bp
Operating expenses
2,754
2,955
3,430
3,600
3,779
37%
Income from operations
399
923
1,624
1,409
941
136%
Operating margin
2.1%
4.1%
5.8%
5.7%
4.2%
214 bp
Adjusted EBITDA
2,814
3,401
4,227
4,154
3,668
30%
Adjusted EBITDA margin
14.6%
15.1%
15.0%
16.7%
16.4%
183 bp
Net income attributable to common stockholders (GAAP)
409
1,172
1,373
840
477
17%
Net income attributable to common stockholders (non-GAAP)
934
1,393
1,770
1,761
1,453
56%
EPS attributable to common stockholders, diluted (GAAP)
0.12
0.33
0.39
0.24
0.13
8%
EPS attributable to common stockholders, diluted (non-GAAP)
0.27
0.40
0.50
0.50
0.41
52%
Net cash provided by operating activities
2,156
2,540
6,238
3,813
3,937
83%
Capital expenditures
(1,492)
(2,394)
(2,248)
(2,393)
(2,493)
67%
Free cash flow
664
146
3,990
1,420
1,444
117%
Cash, cash equivalents and short-term investments
36,996
36,782
41,647
44,059
44,743
21%
4
O P E R A T I O N A L S U M M A R Y
(Unaudited)
Q1-2025
Q2-2025
Q3-2025
Q4-2025
Q1-2026
YoY
Model 3/Y production
345,454
396,835
435,826
422,652
394,611
14%
Other models production
17,161
13,409
11,624
11,706
13,775
-20%
Total production
362,615
410,244
447,450
434,358
408,386
13%
Model 3/Y deliveries
323,800
373,728
481,166
406,585
341,893
6%
Other models deliveries
12,881
10,394
15,933
11,642
16,130
25%
Total deliveries
336,681
384,122
497,099
418,227
358,023
6%
of which subject to operating lease accounting
13,721
6,670
10,230
10,996
3,430
-75%
Cumulative deliveries(1) (all-time; mil)
7.6
8.0
8.5
8.9
9.2
21%
Active FSD Subscriptions(2) (mil)
0.85
0.95
1.04
1.10
1.28
51%
Total end of quarter operating lease (new vehicle) count(3)
179,930
172,882
167,163
163,075
151,991
-16%
Global vehicle inventory (days of supply)(4)
22
24
10
15
27
23%
Storage deployed (GWh)
10.4
9.6
12.5
14.2
8.8
-15%
Supercharger stations
7,131
7,377
7,753
8,182
8,463
19%
Supercharger connectors
67,316
70,228
73,817
77,682
79,918
19%
(1) In accordance with our 2025 CEO Performance Award, metric includes all new Tesla vehicles delivered to customers plus any unsupervised Robotaxis placed into commercial operation. For further detail see our 2025 Proxy Statement.
(2) In accordance with our 2025 CEO Performance Award, metric includes both up-front payment and monthly subscriptions and excludes free trials. For further detail see our 2025 Proxy Statement.
(3) Beginning in Q4'25, end of quarter operating lease count pertains only to new vehicles. Q3'25 has been adjusted to exclude used vehicles.
5 (4) Days of supply is calculated by dividing new vehicle ending inventory by the relevant quarter's deliveries and using 75 trading days (aligned with Automotive News definition).
M A N U F A C T U R I N G & H A R D W A R E
Installed Annual Manufacturing Capacity
Region
Product
Capacity
Status
Automotive
California
Model 3 / Model Y
>550,000
Production
Shanghai
Model 3 / Model Y
>950,000
Production
Berlin
Model Y
>375,000
Production
Texas
Model Y
>250,000
Production
Cybertruck
>125,000
Production
Cybercab
-
Pilot Production
Nevada
Tesla Semi
-
Pilot Production
TBD
Roadster
-
Design development
Energy Generation and Storage
California
Megapack
40 GWh
Production
Nevada
Powerwall
>6 GWh
Production
Shanghai
Megapack
20 GWh
Production
Texas
Megapack
-
Construction
Robotics
California
Optimus
-
Construction
Texas
Optimus
-
Construction
We are focused on optimizing our vehicle product portfolio, with an emphasis on vehicles designed for a fully autonomous future. We continued the launch of Model 3 and Model Y trims globally, including the roll-out of the Model YL in markets outside of China and more affordable trims of both models. We also began deliveries of Cybertruck in the UAE.
We expect volume production of both Cybercab and the Tesla Semi this year.
Progress continued at the new Megafactory outside Houston, which will produce the Megapack 3 for Megablock. Start of production is on track for later this year. We began meaningful customer deployments of Tesla's first in-house designed solar panel produced at Gigafactory New York. The new panel has 18 individual power zones - 3x more than a conventional residential panel - enabling it to reliably produce more energy in shady conditions. Other innovations include improved aesthetics and faster and simpler installation.
Preparations for our first large-scale Optimus factory will begin shortly in Q2. The first-generation line, designed for 1 million robots a year, will replace the Model S and Model X lines in Fremont. We are also preparing Gigafactory Texas for the second-generation line, which is being designed for long-term annual production capacity of 10 million robots.
Installed capacity ≠ current production rate and there may be limitations discovered as production rates approach capacity. Production rates depend on a variety of factors, including equipment uptime, component supply, downtime related to factory upgrades, regulatory considerations and other factors. Construction includes factory and infrastructure buildout as well as tool installation.
6
Installed Annual Capacity
Region
Product
Capacity
Status
AI Training Compute
Texas
Cortex 1
>100k H100e
Production
Cortex 2
>130k H100e
Early Ramp
Battery Manufacturing
Nevada
LFP
7 GWh
Early Ramp
Texas
4680
40 GWh
Production
Cathode Materials
10 GWh
Early Ramp
Lithium Refining
30 GWh
Early Ramp
Cortex 2 is now online and has started running training workloads. We continue to ramp our onsite training infrastructure to ensure sufficient compute resources for the development of our AI products and services. We are also continuing our custom silicon development with Dojo 3 in an effort to reduce the cost of training over time.
Ramp has begun across our new battery and material factories, including LFP cells in Nevada, cathode material and lithium refining in Texas. Battery pack capacity continues to be the limiting factor on ramping our vehicle production, and the team is actively working on initiatives to increase capacity.
Gigafactory New York is now producing V4 Supercharging cabinets, which boast 3x the power density and 2x the number of stalls per cabinet compared to V3. Alongside the ramp of Tesla Semi, we are deploying public Megachargers, including our first one in Southern California.
While we aim to leverage as much of our existing investments as possible, we continue to build out our supporting infrastructure for our vehicle and mobility businesses, including Robotaxi expansion, across established and growth markets around the world. In Q1, we added over 2,200 net new Supercharging stalls, growing the network 19% year-over-year. This year we look to increase our presence in Japan by doubling our service centers and expanding our Supercharger coverage in the world's third largest vehicle market.
Installed capacity ≠ current production rate and there may be limitations discovered as production rates approach capacity. Production rates depend on a variety of factors, including equipment uptime, component supply, downtime related to factory upgrades, regulatory considerations and other factors. Early ramp capacity includes expected capacity.
Existing Capacity
Future Planned Capacity
300,000
250,000
200,000
150,000
100,000
50,000
0
Our latest version of FSD (Supervised)1
, v14.3, launched in April. We upgraded the Reinforcement
10.0
9.0
8.0
Learning stage of training to better handle "long-tail" edge cases, enhanced the neural network
vision encoder for sharper perception in low-visibility scenarios and rewrote the AI compiler to accelerate model iterations as well as the runtime to cut inference latency by up to 20%. These architectural advances will help accelerate our efforts to eventually deploy unsupervised autonomy on both the Robotaxi fleet and customer-owned vehicles. Digital Optimus represents the next evolution of our AI development. We are working on automating digital workloads, building an intelligence layer that will complement the real-world AI we have built to operate vehicles and humanoid robots.
Coinciding with Robotaxi and Optimus ramps, we are expanding our scope of manufacturing to include semiconductor fabrication, an important step to ensure sufficient and resilient chip supply. Our partnership with SpaceX aims to build the largest chip fab ever: vertically integrating logic, memory and advanced packaging to allow for rapid iteration as we anticipate greater chip demand than what existing and planned industry capacity can accommodate. This begins with the Tesla-owned Research Fab on our Gigafactory Texas campus. In April, we completed the final chip design of our next-generation AI5 inference processor.
In April, we began rolling out the Spring Update which includes a new in-vehicle Self-Driving App (AI4 vehicles) - users can subscribe to FSD (Supervised)1, learn how to use the feature and view ongoing stats. Customers can launch Grok by saying "Hey Grok," and set location-based reminders. Accent lights can now turn red when an object is in your blind spot and your turn signal is engaged. Pet Mode allows users to name their pet and choose between dog, cat or
7.0
6.0
5.0
4.0
3.0
2.0
1.0
0.0
Cumulative Miles Driven with FSD (Supervised)1 (billions)
AI5 Tape Out
In Q1, paid Robotaxi miles nearly doubled sequentially. Once in production, we expect that Cybercab will begin to replace the existing Model Y fleet and will be the largest volume vehicle in the fleet over time. We continued laying the groundwork for expansion of our Robotaxi service to additional major U.S. metros, including testing and permitting, allowing us to quickly launch new markets once we are ready. Our top priority remains safety. We further expanded our unsupervised operation area in Austin and launched unsupervised rides in both Dallas and Houston in April.
We began moving FSD (Supervised) to subscription-only. Adoption (attachment to new purchases) and penetration (total users among the eligible fleet) both continued to grow, with record net new subscriptions in Q1. A major focus is increasing awareness of the safety and convenience provided by FSD (Supervised) as we evolve our sales strategy to position FSD (Supervised) as the product, with promising early signs. We received approval to deploy FSD (Supervised) in the Netherlands in April, which clears the path for potential approval in other EU countries. We continue to make progress on approval in China.
1,800,000
Cumulative Paid Robotaxi Miles
1,600,000
1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
Cumulative Paid Robotaxi Miles
We continue to invest in ancillary services to increase the convenience for our customers while lowering total cost of ownership. With the continued rapid progress on FSD (Supervised)1, the latest version of Safety Score enables every mile driven with FSD (Supervised) to receive a score of 100, enabling Tesla insurance customers2 to maintain a higher Safety Score over time, resulting in lower monthly insurance premiums. The reduction in premiums, in certain cases, can more than compensate for the monthly price of FSD (Supervised).
(1) Active driver supervision required; does not make the vehicle autonomous.
State
Metro
Status
California
SF Bay Area
Safety Driver3
Texas
Austin
Ramping Unsupervised
Dallas
Ramping Unsupervised
Houston
Ramping Unsupervised
Arizona
Phoenix
Preparations Underway
Florida
Miami
Preparations Underway
Orlando
Preparations Underway
Tampa
Preparations Underway
Nevada
Las Vegas
Preparations Underway
Announced Near-Term Planned Robotaxi Coverage
Volume We are focused on maximum capacity utilization at our factories. Deliveries and deployments will be impacted by aggregate demand for our products, supply chain readiness and allocation decisions between sale to customers or use for our owned and operated fleet.
Cash We will manage the businesses such that we ensure a strong balance sheet, maintaining sufficient liquidity to fund our product roadmap, long-term capacity expansion plans - including further vertical integration - and other expenses.
Profit While we continue to execute on innovations to reduce the cost of manufacturing and operations, over time, we expect our hardware-related profits to be accompanied by an acceleration of AI, software and fleet-based profits.
Product We continue to evolve and augment our product lineup with a focus on cost, scale and future monetization opportunities via services powered by our AI software. We remain focused on growing our sales volumes through a differentiated and efficiently managed product portfolio, which includes leveraging and optimizing our existing production capacity before building new factories and production lines.
Cybercab, Tesla Semi and Megapack 3 are on schedule for volume production starting in 2026. First-generation production lines for Optimus are being installed in anticipation of volume production.
Capacity build out and ramp related to our multi-year infrastructure initiatives, including AI compute, solar, battery material and semiconductor manufacturing are underway.
P H O T O S & C H A R T S
(Unaudited)
0.5 7 8
6 7
0.4 5
6
4
0.3 3 5
2 4
0.2 1 3
0
2
0.1 -1
-2 1
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
0.0 -3 0
Vehicle Deliveries (millions of units)
(1) Beginning in Q1'25, Capital expenditures is presented inclusive of purchases of energy generation and storage systems and all prior periods have been adjusted.
21 (2) As a result of the adoption of the new crypto assets standard, the previously reported quarterly periods in 2024 have been recast.
(Unaudited)
2.0 18 20
1.8 16 18
1.6 14 16
1.4 14
12
1.2 12
10
1.0 10
8
0.8 8
6
0.6 6
0.4 4 4
0.2 2 2
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
0.0 0 0
Vehicle Deliveries (millions of units)
(1) Beginning in Q1'25, Capital expenditures is presented inclusive of purchases of energy generation and storage systems and all prior periods have been adjusted.
22 (2) As a result of the adoption of the new crypto assets standard, the previously reported quarterly periods in 2024 have been recast.
Revenue Total quarterly revenue increased 16% YoY to $22.4B. YoY, revenue was impacted by the following items(1):
+ increase in vehicle deliveries
+ growth in Services and Other
+ positive FX impact of $0.9B1
+ higher vehicle average selling price (ASP) (excl. FX impact1), inclusive of mix impact
+ higher automotive ancillary sales, primarily driven by an increase in FSD sales and subscriptions
lower Energy Generation and Storage revenue
lower regulatory credit revenue
Profitability Our quarterly operating income increased 136% YoY to $0.9B, resulting in a 4.2% operating margin. YoY, operating income was primarily impacted by the following items(1):
+ increase in automotive one-time benefits related to warranty and tariffs
+ growth in Services and Other gross profit
+ higher vehicle average selling price (ASP) (excl. FX impact1), inclusive of mix impact
+ increase in energy one-time benefits related to tariffs
+ positive FX impact of $0.2B1
+ higher automotive ancillary sales, primarily driven by an increase in FSD sales and subscriptions
+ lower average cost per vehicle due to lower material costs
+ increase in vehicle deliveries
increase in operating expenses driven by AI and other R&D projects, 2025 CEO award SBC and SG&A
lower regulatory credit revenue
Cash Quarter-end cash, cash equivalents and short-term investments was $44.7B. The sequential increase of $0.7B was primarily the result of $1.4B free cash flow and $1.2B financing cash inflow, partly offset by $2.0B for the SpaceX equity investment.
F I N A N C I A L S T A T E M E N T S
Provision for income taxes
169
359
570
325
257
NET INCOME
420
1,190
1,389
856
491
In millions of USD or shares as applicable, except per share data
REVENUES
Automotive sales
Automotive regulatory credits Automotive leasing
Total automotive revenues Energy generation and storage Services and other
Total revenues
COST OF REVENUES
Automotive sales Automotive leasing
Total automotive cost of revenues Energy generation and storage Services and other
Total cost of revenues
Gross profit
OPERATING EXPENSES
Research and development Selling, general and administrative Restructuring and other
Total operating expenses
INCOME FROM OPERATIONS
Interest income Interest expense
Other (expense) income, net INCOME BEFORE INCOME TAXES
Q1-2025
Q2-2025
Q3-2025
Q4-2025
Q1-2026
12,925
595
447
13,967
2,730
2,638
19,335
15,787
439
435
16,661
2,789
3,046
22,496
20,359
417
429
21,205
3,415
3,475
28,095
16,750
542
401
17,693
3,837
3,371
24,901
15,473
380
381
16,234
2,408
3,745
22,387
11,461
239
11,700
1,945
2,537
16,182
3,153
13,567
228
13,795
1,943
2,880
18,618
3,878
17,365
225
17,590
2,342
3,109
23,041
5,054
13,874
206
14,080
2,739
3,073
19,892
5,009
12,616
196
12,812
1,456
3,399
17,667
4,720
1,409
1,251
94
2,754
399
400
(91)
(119)
589
1,589
1,366
- 2,955
923
392
(86)
320
1,549
1,630
1,562
238
3,430
1,624
439
(76)
(28)
1,959
1,783
1,655
162
3,600
1,409
449
(85)
(592)
1,181
1,946
1,833
- 3,779
941
434
(92)
(535)
748
Net income attributable to noncontrolling interests and redeemable noncontrolling interests in subsidiaries 11 18 16 16 14
NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS
409
1,172
1,373
840
477
Net income per share of common stock attributable to common stockholders
Basic
$ 0.13
$ 0.36
$ 0.43
$ 0.26
$ 0.15
Diluted
$ 0.12
$ 0.33
$ 0.39
$ 0.24
$ 0.13
Weighted average shares used in computing net income per share of common stock
Basic
3,218
3,223
3,227
3,231
3,234
Diluted
3,521
3,519
3,526
3,539
3,538
In millions of USD` 31-Mar-25 30-Jun-25 30-Sep-25 31-Dec-25 31-Mar-26 ASSETS
Current assets
Cash, cash equivalents and short-term investments
36,996
36,782
41,647
44,059
44,743
Accounts receivable, net
3,782
3,838
4,703
4,576
3,959
Inventory
13,706
14,570
12,276
12,392
14,434
Prepaid expenses and other current assets
4,905
5,943
6,027
7,615
6,612
Total current assets
59,389
61,133
64,653
68,643
69,748
Operating lease vehicles, net
5,477
5,230
5,019
4,912
4,530
Energy generation and storage systems, net
4,855
4,788
4,673
4,604
4,565
Property, plant and equipment, net
37,088
38,574
39,407
40,643
43,213
Operating lease right-of-use assets
5,330
5,633
5,783
6,027
6,332
Digital assets
951
1,235
1,315
1,008
786
Deferred tax assets
6,687
6,721
6,637
6,925
7,060
Other non-current assets (2)
5,334
5,253
6,248
5,045
7,490
Total assets
125,111
128,567
133,735
137,806
143,724
LIABILITIES AND EQUITY
Current liabilities
Accounts payable
13,471
13,212
12,819
13,371
14,696
Accrued liabilities and other
10,802
11,519
12,791
13,279
14,554
Deferred revenue
3,243
3,237
3,756
3,424
3,441
Current portion of debt and finance leases (1)
2,237
2,040
1,924
1,640
1,447
Total current liabilities
29,753
30,008
31,290
31,713
34,138
Debt and finance leases, net of current portion (1)
5,292
5,180
5,778
6,736
7,782
Deferred revenue, net of current portion
3,610
3,764
3,746
3,631
3,847
Other long-term liabilities
11,038
11,543
12,205
12,860
13,155
Total liabilities
49,693
50,495
53,019
54,940
58,922
Redeemable noncontrolling interests in subsidiaries
62
61
59
58
57
Total stockholders' equity
74,653
77,314
79,970
82,139
84,116
Noncontrolling interests in subsidiaries
703
697
687
670
629
Total liabilities and equity
125,111
128,567
133,735
137,806
143,724
(1) Breakdown of our debt is as follows:
Non-recourse debt
7,238
6,953
7,458
8,150
9,017
Recourse debt
6
3
3
3
2
Days sales outstanding
19
15
14
17
17
Days payable outstanding
72
65
52
61
71
In millions of USD Q1-2025 Q2-2025 Q3-2025 Q4-2025 Q1-2026
CASH FLOWS FROM OPERATING ACTIVITIES
Net income
420
1,190
1,389
856
491
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and impairment
1,447
1,433
1,625
1,643
1,590
Stock-based compensation
573
635
663
954
1,030
Inventory and purchase commitments write-downs
112
136
65
49
77
Foreign currency transaction loss, net
30
24
106
292
287
Deferred income taxes
(43)
52
225
(111)
(136)
Non-cash interest and other operating activities
46
27
162
37
1
Digital assets loss (gain), net
125
(284)
(80)
307
222
Changes in operating assets and liabilities
Accounts receivable
630
(29)
(907)
45
561
Inventory
(1,704)
(703)
1,991
(214)
(2,255)
Operating lease vehicles
(76)
141
(11)
(79)
174
Prepaid expenses and other assets
(419)
(718)
(1,143)
(901)
231
Accounts payable, accrued and other liabilities
706
627
1,646
1,397
1,401
Deferred revenue
309
9
507
(462)
263
Net cash provided by operating activities
2,156
2,540
6,238
3,813
3,937
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures
(1,492)
(2,394)
(2,248)
(2,393)
(2,493)
Purchase of SpaceX equity investment
-
-
-
-
(2,002)
Purchases of short-term investments
(6,015)
(7,485)
(11,402)
(12,207)
(8,318)
Proceeds from maturities of short-term investments
5,856
6,935
9,295
8,072
7,790
Net cash used in investing activities
(1,651)
(2,944)
(4,355)
(6,528)
(5,023)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuances of debt
625
2,425
1,182
1,354
4,331
Repayments of debt
(1,301)
(2,828)
(669)
(748)
(3,530)
Debt issuance costs
-
(1)
(4)
(1)
-
Proceeds from exercises of stock options and other stock issuances
313
215
512
146
361
Principal payments on finance leases
(48)
(19)
(18)
(19)
(18)
Proceeds received from directors in shareholder settlement
277
-
-
-
-
(Payment) recovery of legal fees associated with shareholder settlement
(176)
-
-
-
98
Distributions paid to noncontrolling interests in subsidiaries
(22)
(14)
(20)
(22)
(70)
Net cash (used in) provided by financing activities
(332)
(222)
983
710
1,172
Effect of exchange rate changes on cash and cash equivalents and restricted cash
40
111
(17)
37
(47)
Net increase (decrease) in cash and cash equivalents and restricted cash
213
(515)
2,849
(1,968)
39
Cash and cash equivalents and restricted cash at beginning of period
17,037
17,250
16,735
19,584
17,616
Cash and cash equivalents and restricted cash at end of period
17,250
16,735
19,584
17,616
17,655
In millions of USD or shares as applicable, except per share data Q1-2025 Q2-2025 Q3-2025 Q4-2025 Q1-2026
Net income attributable to common stockholders (GAAP)
409
1,172
1,373
840
477
Stock-based compensation expense, net of tax
428
443
459
682
803
Digital assets loss (gain), net of tax
97
(222)
(62)
239
173
Net income attributable to common stockholders (non-GAAP)
934
1,393
1,770
1,761
1,453
EPS attributable to common stockholders, diluted (GAAP)
0.12
0.33
0.39
0.24
0.13
Stock-based compensation expense, net of tax, per share
0.12
0.13
0.13
0.19
0.23
Digital assets loss (gain), net of tax, per share
0.03
(0.06)
(0.02)
0.07
0.05
EPS attributable to common stockholders, diluted (non-GAAP)
0.27
0.40
0.50
0.50
0.41
Shares used in EPS calculation, diluted (GAAP and non-GAAP)
3,521
3,519
3,526
3,539
3,538
Net income attributable to common stockholders (GAAP)
409
1,172
1,373
840
477
Interest expense
91
86
76
85
92
Provision for income taxes
169
359
570
325
257
Depreciation, amortization and impairment
1,447
1,433
1,625
1,643
1,590
Stock-based compensation expense
573
635
663
954
1,030
Digital assets loss (gain), net
125
(284)
(80)
307
222
Adjusted EBITDA (non-GAAP)
2,814
3,401
4,227
4,154
3,668
Total revenues
19,335
22,496
28,095
24,901
22,387
Adjusted EBITDA margin (non-GAAP)
14.6%
15.1%
15.0%
16.7%
16.4%
Automotive gross margin (GAAP)
16.2%
17.2%
17.0%
20.4%
21.1%
Less: Total regulatory credit revenue recognized
3.7%
2.2%
1.6%
2.5%
1.9%
Automotive gross margin excluding regulatory credit sales (non-GAAP)
12.5%
15.0%
15.4%
17.9%
19.2%
In millions of USD
3Q-2022
4Q-2022
1Q-2023
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
Net cash provided by operating activities (GAAP)
5,100
3,278
2,513
3,065
3,308
4,370
242
3,612
6,255
4,814
2,156
2,540
6,238
3,813
3,937
Capital expenditures (1)
(1,803)
(1,858)
(2,073)
(2,060)
(2,459)
(2,307)
(2,777)
(2,272)
(3,513)
(2,780)
(1,492)
(2,394)
(2,248)
(2,393)
(2,493)
Free cash flow (non-GAAP) (1)
3,297
1,420
440
1,005
849
2,063
(2,535)
1,340
2,742
2,034
664
146
3,990
1,420
1,444
In millions of USD
3Q-2022
4Q-2022
1Q-2023
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
Net income attributable to common stockholders (GAAP) (2)
3,292
3,687
2,513
2,703
1,853
7,928
1,390
1,400
2,173
2,128
409
1,172
1,373
840
477
Interest expense
53
33
29
28
38
61
76
86
92
96
91
86
76
85
92
Provision for (benefit from) income taxes (2)
305
276
261
323
167
(5,752)
483
371
602
381
169
359
570
325
257
Depreciation, amortization and impairment
956
989
1,046
1,154
1,235
1,232
1,246
1,278
1,348
1,496
1,447
1,433
1,625
1,643
1,590
Stock-based compensation expense
362
419
418
445
465
484
524
439
457
579
573
635
663
954
1,030
Digital assets loss (gain), net (2)
-
34
-
-
-
-
(335)
100
(7)
(347)
125
(284)
(80)
307
222
Adjusted EBITDA (non-GAAP) (2) (3)
4,968
5,438
4,267
4,653
3,758
3,953
3,384
3,674
4,665
4,333
2,814
3,401
4,227
4,154
3,668
In millions of USD
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
Net cash provided by operating activities - TTM (GAAP)
13,956
12,164
13,256
10,985
11,532
14,479
14,923
16,837
15,765
15,748
14,747
16,528
Capital expenditures - TTM (1)
(7,794)
(8,450)
(8,899)
(9,603)
(9,815)
(10,869)
(11,342)
(10,057)
(10,179)
(8,914)
(8,527)
(9,528)
Free cash flow - TTM (non-GAAP) (1)
6,162
3,714
4,357
1,382
1,717
3,610
3,581
6,780
5,586
6,834
6,220
7,000
In millions of USD
2Q-2023
3Q-2023
4Q-2023
1Q-2024
2Q-2024
3Q-2024
4Q-2024
1Q-2025
2Q-2025
3Q-2025
4Q-2025
1Q-2026
Net income attributable to common stockholders - TTM (GAAP) (2)
12,195
10,756
14,997
13,874
12,571
12,891
7,091
6,110
5,882
5,082
3,794
3,862
Interest expense - TTM
143
128
156
203
261
315
350
365
365
349
338
339
Provision for (benefit from) income taxes - TTM (2)
1,165
1,027
(5,001)
(4,779)
(4,731)
(4,296)
1,837
1,523
1,511
1,479
1,423
1,511
Depreciation, amortization and impairment - TTM
4,145
4,424
4,667
4,867
4,991
5,104
5,368
5,569
5,724
6,001
6,148
6,291
Stock-based compensation expense - TTM
1,644
1,747
1,812
1,918
1,912
1,904
1,999
2,048
2,244
2,450
2,825
3,282
Digital assets loss (gain), net - TTM (2)
34
34
-
(335)
(235)
(242)
(589)
(129)
(513)
(586)
68
165
Adjusted EBITDA - TTM (non-GAAP) (2) (3)
19,326
18,116
16,631
15,748
14,769
15,676
16,056
15,486
15,213
14,775
14,596
15,450
TTM = Trailing twelve months
(1) Beginning in Q1'25, Capital expenditures is presented inclusive of purchases of energy generation and storage systems and all prior periods have been adjusted.
A D D I T I O N A L I N F O R M A T I O N
Tesla will provide a live webcast of its first quarter 2026 financial results conference call beginning at 4:30 p.m. CT on April 22, 2026 at ir.tesla.com. This webcast will also be available for replay for approximately one year thereafter.
When used in this update, certain terms have the following meanings. Our vehicle deliveries include only vehicles that have been transferred to end customers with all paperwork correctly completed. Our energy product deployment volume includes both customer units when installed and equipment sales at time of delivery. "Net income attributable to common stockholders (non-GAAP)" is equal to (i) net income attributable to common stockholders before (ii)(a) stock-based compensation expense, net of tax, (b) digital assets (gain) loss, net of tax and (c) release of valuation allowance on deferred tax assets. "Adjusted EBITDA (non-GAAP)" is equal to (i) net income attributable to common stockholders before (ii)(a) interest expense, (b) provision for (benefit from) income taxes, (c) depreciation, amortization and impairment, (d) stock-based compensation expense and (e) digital assets loss (gain), net. "Free cash flow" is operating cash flow less capital expenditures. Average cost per vehicle is cost of automotive sales divided by new vehicle deliveries (excluding operating leases). "Days sales outstanding" is equal to (i) average accounts receivable, net for the period divided by (ii) total revenues and multiplied by (iii) the number of days in the period. "Days payable outstanding" is equal to (i) average accounts payable for the period divided by (ii) total cost of revenues and multiplied by (iii) the number of days in the period. "Days of supply" is calculated by dividing new car ending inventory by the relevant period's deliveries and using trading days. Constant currency impacts are calculated by comparing actuals against current results converted into USD using average exchange rates from the prior period.
Consolidated financial information has been presented in accordance with GAAP as well as on a non-GAAP basis to supplement our consolidated financial results. Our non-GAAP financial measures include non-GAAP net income (loss) attributable to common stockholders, non-GAAP net income (loss) attributable to common stockholders on a diluted per share basis (calculated using weighted average shares for GAAP diluted net income (loss) attributable to common stockholders), Adjusted EBITDA, Adjusted EBITDA margin, non-GAAP automotive gross margin and free cash flow. These non-GAAP financial measures also facilitate management's internal comparisons to Tesla's historical performance as well as comparisons to the operating results of other companies. Management believes that it is useful to supplement its GAAP financial statements with this non-GAAP information because management uses such information internally for its operating, budgeting and financial planning purposes.
Management also believes that presentation of the non-GAAP financial measures provides useful information to our investors regarding our financial condition and results of operations, so that investors can see through the eyes of Tesla management regarding important financial metrics that Tesla uses to run the business and allowing investors to better understand Tesla's performance. Non-GAAP information is not prepared under a comprehensive set of accounting rules and therefore, should only be read in conjunction with financial information reported under U.S. GAAP when understanding Tesla's operating performance. A reconciliation between GAAP and non-GAAP financial information is provided above.
Certain statements in this update, including, but not limited to, statements in the "Outlook" section; statements relating to the development, strategy, ramp, production and capacity, demand and market growth, cost, pricing and profitability, investment, deliveries, deployment, availability and other features and improvements and timing of existing and future Tesla products and services and supporting infrastructure; statements regarding operating margin, operating profits, spending and liquidity; and statements regarding expansion, improvements and/or ramp and related timing at our facilities are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions and management's current expectations, involve certain risks and uncertainties, and are not guarantees. Future results may differ materially from those expressed in any forward-looking statement. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: the risk of delays in launching and/or manufacturing our products, services and features cost-effectively; our ability to build and/or grow our products and services, sales, delivery, installation, servicing and charging capabilities and effectively manage this growth; our ability to successfully and timely develop, introduce and scale, as well as our consumers' demand for, products and services based on artificial intelligence, robotics and automation, electric vehicles, advanced driver assistance systems, and ride-hailing services generally and our vehicles and services specifically; the ability of suppliers to deliver components according to schedules, prices, quality and volumes acceptable to us, and our ability to manage such components effectively; any issues with lithium-ion cells or other components manufactured at our factories; our ability to ramp our factories in accordance with our plans; our ability to procure supply of battery cells, including through our own manufacturing; risks relating to international operations and expansion, including unfavorable and uncertain regulatory, political, economic, tax, tariff, export controls and labor conditions; any failures by Tesla products to perform as expected or if product recalls occur; the risk of product liability claims; competition in the automotive, transportation and energy product and services and robotics markets; our ability to maintain public credibility and confidence in our long-term business prospects; our ability to manage risks relating to our various product financing programs; the status of government and economic incentives for electric vehicles and energy products; our ability to attract, hire and retain key employees and qualified personnel; our ability to maintain the security of our information and production and product systems; our compliance with various regulations and laws applicable to our operations and products, which may evolve from time to time; risks relating to our indebtedness and financing strategies; and adverse foreign exchange movements. More information on potential factors that could affect our financial results is included from time to time in our Securities and Exchange Commission filings and reports, including the risks identified under the section captioned "Risk Factors" in our annual report on Form 10-K filed with the SEC on January 28, 2026 and subsequent quarterly reports on Form 10-Q. Tesla disclaims any obligation to update information contained in these forward-looking statements whether as a result of new information, future events or otherwise.
Disclaimer
Tesla Inc. published this content on April 22, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 22, 2026 at 20:05 UTC.