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Tesla beats on earnings but misses on revenue

Tesla said adjusted profit topped estimates as vehicle deliveries missed and capital spending is set to rise above $25 billion this year.

  • Tesla released Q1 2026 financial results after market close on Wednesday, beating Wall Street expectations with non-GAAP earnings of $0.41 per share and revenue of $22.38 billion.
  • Despite the earnings beat, operational metrics disappointed as Tesla reported 358,023 vehicle deliveries, missing expectations by roughly 7,600 units, while energy storage deployment fell 38% sequentially to 8.8 GWh.
  • CEO Elon Musk faced divided attention in the first quarter, merging SpaceX with his AI venture xAI in a $1.25 trillion deal, while competitors Xiaomi and BYD challenged Tesla's aging EV lineup.
  • Investor sentiment remains pressured as Tesla stock is down 14% this year, and the company faces consumer backlash linked to Musk's political rhetoric and work with the Trump administration.
  • Musk aims to shift focus toward self-driving technology and Optimus humanoid robots to revitalize growth, as the company's ride-hailing business trails Alphabet's Waymo in the U.S. and Baidu's Apollo Go in China.
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The cash flow of Tesla, the electric car manufacturer led by the world's richest person Elon Musk, exceeded the expectations of investors and analysts.

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Tesla's Q1 Earnings Rebound: FSD Subscribers Up 51%, Operating Profit Up 136%; Affordability and Practicality Are Tesla's Competitive Advantages; Demand Rising in Asia-Pacific and South America. Tesla, the U.S. electric vehicle maker led by Elon Musk, announced earnings for the first quarter (January-March) of this year that exceeded market expectations, amidst high oil prices and geopolitical risks.

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Bloomberg broke the news in United States on Wednesday, April 22, 2026.
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