Tesla Q1 Earnings Preview: What Analysts Expect From Upcoming Report

GuruFocus
04-21

April 21 - Tesla (TSLA, Financial) is due to release its first-quarter earnings results for the 2025 fiscal year after the market closes on Tuesday, with Wall Street anticipating softer numbers.

Analysts expect a 6% year-over-year drop in profit to $0.42 per share, along with a modest 1% increase in revenue to $21.54 billion, reflecting slowing demand and ongoing operational challenges.

Earlier this month, Tesla reported first-quarter vehicle deliveries of 336,681, well below the estimated 377,000. Vehicle production reached 362,615 units. About 4% of deliveries were structured under operating lease accounting, which affects how and when revenue is recorded.

Despite the miss, analysts haven't lowered full-year delivery forecasts. Estimates remain steady at 456,000 for Q2, 497,000 in Q3, and 544,000 in the final quarter.

Operational issues persist. Reports suggest Tesla has cut production targets across several Cybertruck lines and reassigned staff at its Texas Gigafactory. Some production areas are said to be running well below capacity.

Meanwhile, delays have hit upcoming models like the Semi and Cybercab. The EV maker is also facing growing competition, particularly from Chinese firms such as BYD, and navigating shifting consumer trends.

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