Tesla has released its Q4 2023 and full year earnings report this afternoon, and after delivering a record number of electric vehicles (EVs) in the year, the company saw revenue increase slightly year-over-year (YoY), while earnings came in slightly below analyst expectations.
Earnings
In Q4 2023 Tesla reported earnings of $0.71 per share (non-GAAP) versus estimates of $0.73 per share.
For the full year, earnings came in at $3.12 per share. This was a 23% decline from 2022 which saw earnings of $4.07 per share.
Revenue
Tesla reported total revenue of $25.17 billion in Q4, growing 3% year-over-year (YoY), slightly below estimates of $25.7 billion.
For 2023, revenue grew to $96.77 billion, a 19% increase compared to $81.46 billion in 2022.
Profitability
For Q4 2023 operating income decreased to $2.1 billion, resulting in an operating margin of 8.2%. Total GAAP gross margins decreased slightly from 17.9% to 17.6% compared to the previous quarter. For the year GAAP gross margins decreased 758 basis points from 16.8% to 9.2%
Tesla said operating income was impacted by:
-reduced vehicle ASP due to pricing and mix
– increase in operating expenses partly driven by AI and other R&D projects
– lower FSD revenue recognition YoY due to FSD Beta wide release in North America in Q4`22
– cost of Cybertruck production ramp
+ lower cost per vehicle, including lower raw material costs, logistics costs and IRA credit benefit
+ growth in vehicle deliveries
+ gross profit growth in Energy Generation and Storage
Cash
Tesla now has a record $29.1 billion in cash, cash equivalents and investments.
You can read Tesla’s full report below.
