Tesla’s (NASDAQ:TSLA) Q2 2024 earnings name comes on the heels of the corporate’s Q2 2024 Replace Letter, which was launched after the closing bell on Wednesday, July 23, 2024.
Tesla posted complete revenues of $25.5 billion, with automotive revenues of $19.878 billion within the second quarter. The corporate additionally posted non-GAAP earnings per share of $0.52 and GAAP EPS of $0.42 for Q2. Tesla posted $1.6 billion GAAP working earnings after restructuring expenses of $600 million within the second quarter as effectively.
Q2 2024 Earnings Name begins in ~1.5h https://t.co/DnhM6ay60N
— Tesla (@Tesla) July 23, 2024
The next are dwell updates from Tesla’s Q2 2024 earnings name. I will probably be updating this text in real-time, so please hold refreshing the web page to view the most recent updates on this story. The primary entry begins on the backside of the web page.
17:30 CDT: That’s a wrap! Thanks for studying and following together with our Reside Weblog! ‘Til subsequent quarter!
17:27 CDT: Potential Trump Presidency may finish IRA, and would Tesla have destructive implications if IRA is ended, an analyst asks. Musk mulls the query and says “It might have some influence, however it might be devastation to our opponents.” Musk believes eliminating the IRA would have minimal influence on Tesla. He continues to hound the purpose that Tesla’s worth is very reliant on autonomy and says if an investor doesn’t imagine the corporate will remedy self-driving, they need to promote their inventory.
17:18 CDT: Musk breaks down the ride-sharing platform, highlighting the benefits: the automobile may very well be used 24/7, and may very well be a full-time member of the automobile fleet or a part-time contributor. Car proprietor will share revenues with Tesla instantly.
Rollout questions from Pierre Ferragu of New Avenue Analysis are met with confusion from Musk. “Each automotive will probably be succesful,” as Ferragu requested if the early rollout of Robotaxi can be geofenced and small-scale.
17:14 CDT: Musk says GM canceled its self-driving, pedal-less, wheel-less automobile was canceled as a result of “it’s less than par.” He says GM blamed regulators as a substitute of being clear about their self-driving efforts. “GM can’t make it work.”
17:12 CDT: Musk says Supervised FSD will come to China, Europe, “and different international locations” upon the discharge of v12.6. It’ll submit regulatory approval when these variations are rolled out
17:04 CDT: Alex Potter of Piper Sandler asks about FSD licensing — “Are you able to elaborate on the mechanics of how this may work?” Potter asks if it might be “plug-and-play” or would OEMs need to undertake Tesla platform.
Musk confirms {hardware} must be upgraded: cameras and gateway with mobile and Wi-Fi functionality can be required. “…it will likely be a number of years earlier than we see this in quantity,” Musk says. The CEO additionally provides that disclosure would rely upon who the OEM licensing FSD is, and a quantity minimal can be required.
16:59 CDT: Ben Kallo of Baird asks concerning the automotive income stability and the way it will likely be impacted by AI. Musk says Optimus will seemingly be extra of a contributor to firm income than all different components of the enterprise mixed. Musk believes 22 million models of humanoid robots will probably be demanded by prospects worldwide, with Optimus main the way in which. “Now we have all of the substances; I believe we’re distinctive in having the entire substances [when it comes to humanoid robots],” Musk mentioned. He additionally mentions ARK Make investments’s evaluation when factoring in AI and robotics.
Gigafactory Mexico is “paused” till after the election. Tesla will ramp up manufacturing at its current factories.
16:58 CDT: Musk says he doesn’t wish to give any particulars about future autos after an analyst query as a result of it may cannibalize near-term gross sales.
16:53 CDT: Musk says Grok will make its approach into Tesla autos in some unspecified time in the future.
16:52 CDT: Does Tesla really feel it’s dishonest individuals from the enjoyment of proudly owning a Tesla as a result of it doesn’t promote? Merely put, no. Extra individuals in Q1, 66% of deliveries have been to individuals who by no means had a Tesla earlier than
16:51 CDT: Optimus equipment query will get a chuckle from Musk and Co. No actual replace given by the staff.
16:49 CDT: Musk says NVIDIA’s execution is “spectacular” as he talks about Dojo. Extra effort on Dojo is required to make sure coaching functionality wanted, Musk says. “We do see a path to being aggressive with NVIDIA with Dojo,” he provides. “We sort of haven’t any selection as a result of the demand for NVIDIA is so excessive; it’s clearly their obligation to boost the worth of GPUs to regardless of the market will bear…We’ve actually bought to make Dojo work, and we’ll.”
16:47 CDT: A query concerning the 4680 manufacturing cell ramp yields Tesla to disclose 51 p.c extra cell manufacturing in Q2 than Q1. Greater than 1400 Cybertrucks value of 4680 cells every week. The primary validation Cybertruck with the dry-cathode course of has been constructed. Tesla says it’s on monitor to launch dry-cathode in This fall, decreasing prices for widespread cell manufacturing.
16:42 CDT – Tesla’s CFO takes the stage. Like Musk, he additionally prolonged his due to Tesla’s staff for pulling by within the second quarter. The chief highlighted that Tesla is providing extraordinarily aggressive finance charges worldwide, so the most effective time to purchase a Tesla is true now.
He additionally emphasised the truth that Tesla’s autos are probably the most American vehicles available on the market at this time. “We pleasure ourselves as an organization with probably the most American-made vehicles.” He additionally famous that “Our focus is to supply probably the most compelling merchandise on the most competitve worth.”
16:39 CDT – The CEO famous that the Tesla Robotaxi is now deliberate for an unveiling on October 20. The delay within the automobile’s unveiling is because of adjustments that he requested for the automobile.
As for Optimus, Tesla expects a number of 1000’s of humanoid robots produced and performing helpful duties on the firm’s services by subsequent yr. Optimus Model 1 will begin restricted manufacturing by subsequent yr, Musk estimated.
Musk additionally highlighted that Tesla Power is rising at an unbelievable tempo. Tesla Power might also double or triple manufacturing with each the corporate’s Lathrop and Shanghai Megafactories.
16:35 CDT – Elon Musk takes the stage for his opening remarks. He acknowledges that there’s now extra competitors in EV market. He additionally famous that opponents have rolled out reductions on EV costs, which has been a bit difficult for Tesla — however not in the long run.
Regardless of these challenges, Musk thanked the Tesla staff for reaching report revenues this previous quarter. The CEO famous that Tesla wouldn’t get too deep into its product street map within the earnings name, although he did observe {that a} extra reasonably priced mannequin unveiling is anticipated within the first half of 2025.
Musk additionally highlighted that FSD is seeing loads of progress, with model 12.5 having 5x the parameters of 12.4. He encourages Tesla homeowners to check out FSD. “Full Self-Driving will probably be an enormous demand driver,” Musk mentioned.
16:30 CDT – Tesla’s Q2 2024 earnings name begins — on time(!) The corporate’s new IR Head takes the stage. Elon Musk and different Tesla executives are current.
16:26 CDT – And the music begins. Right here we go! Or fairly, the precise ready begins now.
16:20 CDT – Tesla inventory is down 4.27% as of writing. This isn’t a small drop by any means, although it’s extra tempered than the drops from earlier quarters. As per Barron’s, Tesla shares have moved a median of 11% over the previous 4 quarterly stories.
16:15 CDT – Howdy, everybody, and welcome to our dwell weblog of Tesla’s second quarter 2024 earnings name. Tesla’s second quarter outcomes are fairly combined, with the corporate beating estimates for income however falling in need of expectations in earnings per share. Tesla additionally reported $1.6 billion GAAP working earnings in Q2 after restructuring expenses of $600 million. Elon Musk and Tesla’s different executives would seemingly present some context on the corporate’s Q2 ends in the upcoming earnings name.
Right here’s the livestream of Tesla’s Q2 2024 earnings name.
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