Tesla's First Quarter Revenue Reaches $22.4 Billion, Up 16% Year-on-Year
Tesla's first-quarter earnings report surprised Wall Street with $1.4 billion in positive free cash flow. The company achieved revenue of $22.4 billion in the first quarter, a 16% year-on-year increase; automotive revenue also rose 16% year-on-year. Energy business revenue, which has been a highlight in recent reports due to sales of commercial and residential energy storage products, declined 12% year-on-year in the first quarter.
Tesla's net profit increased by 17% in the quarter ended March 31.
Despite widespread analyst expectations of negative free cash flow for the first time in two years, Tesla achieved $1.4 billion in positive free cash flow.
Tesla, led by Elon Musk, spent $2.5 billion in capital expenditures this quarter, primarily to expand AI computing infrastructure and build new production lines, including those for the Cybercab autonomous taxi.
Driven by positive earnings, Tesla's stock price rose more than 4% in after-hours trading.
Tesla's global electric vehicle sales in the first quarter were 358,023 units, a year-on-year increase of 6.3%. Although it increased year-on-year, this was still Tesla's second-worst quarter for sales since 2022.
While increasing delivery volume, Tesla is trying to shift its business focus from car sales to autonomous vehicles and humanoid robots, neither of which are currently officially for sale. The company recently discontinued production of the Model S and Model X luxury models and announced that it would start mass production of the Cybercab autonomous taxi this month.
Tesla plans to begin deliveries of its all-electric semi-truck this summer and has also previewed several new vehicles, including a redesigned Roadster sports car.
Tesla is also expanding its autonomous taxi ride-hailing service. Last Saturday, the company announced that it had launched fully autonomous passenger service in parts of Dallas and Houston, Texas; in January of this year, Tesla had already opened a limited fully autonomous experience in Austin. In addition, the company operates ride-hailing services with safety drivers in California, using assisted driving version software.