Tesla Q1 2024 Earnings Call (Supercut)
Channel: Moe Thajib
Date: 24/04/2024

EPS missed by -11.76%m reported $.45
Revenue missed by -4.65%, reported $21.30B

Profitability: 
$1.2B GAAP operating income in Q1
$1.1B GAAP net income in Q1
$1.5B non-GAAP net income1 in Q1

Cash:
Operating cash flow of $0.2B in Q1
Free cash flow2 of negative $2.5B in Q1 (AI infrastructure capex was $1.0B in Q1)
$2.2B decrease in our cash and investments3 in Q1 to $26.9B

Operations:
Increased AI training compute by more than 130% in Q1
Record energy storage deployment of 4.1 GWh in Q1
Produced over 1,000 Cybertrucks in a single week in April

Summary:
We experienced numerous challenges in Q1, from the Red Sea conflict and the arson attack at Gigafactory
Berlin, to the gradual ramp of the updated Model 3 in Fremont. Excluding Cybertruck and unscheduled
downtime, our COGS4 per unit declined sequentially, driven primarily by lower raw material costs.
Global EV sales continue to be under pressure as many carmakers prioritize hybrids over EVs. While positive
for our regulatory credits business, we prefer the industry to continue pushing EV adoption, which is in -line
with our mission. To support our growth, we have been increasing awareness and expanding vehicle
financing programs, including attractive leasing terms for our customers.
While many are pulling back on their investments, we are investing in future growth – including our AI
infrastructure, production capacity, our Supercharger and service networks and new products
infrastructure – with $2.8B of capital expenditures in Q1.
We recently undertook a cost-cutting exercise to increase operational efficiency. We also remain
committed to company-wide cost reduction, including reducing COGS per vehicle. Ultimately, we are
focused on profitable growth, including by leveraging existing factories and production lines to introduce
new and more affordable products.
The future is not only electric, but also autonomous. We believe scaled autonomy is only possible with data
from millions of vehicles and an immense AI training cluster. We have, and continue to expand, both. To
make FSD (Supervised) 5 more accessible, we reduced the price of subscription to $99/month and the
purchase price to $8,000 in the US.