Tesla has surpassed third-quarter earnings forecasts, reporting revenue of $28.05 billion and earnings of $0.48 per share, above analyst expectations of $27.9 billion and $0.43 per share, respectively. Despite this, revenue dipped slightly from the previous quarter’s $28.23 billion, with a 3% decline in automotive revenue compared to the same period last year.
During the earnings call, CEO Elon Musk hinted at the possibility of merging Tesla with SpaceX, his aerospace and artificial intelligence company. While Musk acknowledged the potential benefits of such a merger, he provided no further details, stating that special committees from both companies’ boards were still reviewing the proposal. The merger would require approval from at least half of Tesla’s shareholders.
Tesla continues to broaden its focus beyond electric vehicles, delving into areas such as artificial intelligence, autonomous driving, robotics, and renewable energy. However, its Robotaxi service has encountered hurdles in fleet expansion and city entry, while the development of its Optimus humanoid robots faces production challenges.
Despite these obstacles, Musk remains optimistic about the future of humanoid robots, predicting they could become one of the world’s largest product categories. Meanwhile, Tesla is also contending with rising competition from more affordable Chinese electric vehicle manufacturers as it pushes forward with its technological ambitions.
