Tesla Q2 FY24

$Tesla (TSLA)$ Tesla released its 24Q2 financial report data:

EPS (non-GAAP): $0.52 vs. $0.62 est

EPS (GAAP): $0.42

Revenue: $25.5B

Total GAAP gross margin: 18%

Auto gross margin ex-RC: 14.65%

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1. The gross profit margin of the whole vehicle has declined significantly, which should be unexpected by most people. Cybertruck sales have increased so much, but ASP still dropped by $1,000, which is a bit strange.

2. Although the one-time restructuring cost of 620 million is 270 million higher than the guidance of 350 million, the carbon credits are 890 million, which is also significantly higher than the expected 500 million or so, which can actually be offset.

3. The suspension of the Mexican factory has been clarified. I think Trump's coming to power is one reason, and more importantly, the plan for cheap cars has also been delayed.

4. Robotaxi Day has been rescheduled to 10/10, suggesting that there will be something substantial to show.

5. FSD is expected to receive regulatory approval in China and Europe by the end of the year. FSD subscription rates in North America remain vague.

In general, the good news is not specific enough, and there is more bad news in the numbers.

Of course, Elon reiterated that if you don't believe Tesla can achieve autonomous driving, you should sell your stock, which I think also reflects the weakness of the automotive business at this stage.

@Jun Han