Tesla Set to Reveal Q1 2025 Financial Results Amid Delivery Drop

Tesla (TSLA) is set to release its financial results for Q1 2025 on April 22, following the market closure, amid mounting scrutiny over its recent performance.

The anticipated conference call with management, led by CEO Elon Musk, will delve into the company’s latest figures, which have already raised eyebrows.

Tesla reported deliveries for the first quarter significantly lower than expectations, falling approximately 50,000 units short compared to Q1 2024, leading analysts to adjust their revenue forecasts downward.

Tesla’s Energy Storage Growth Can’t Offset Decline in Vehicle Deliveries

Despite the concerning delivery numbers, Tesla’s energy storage business is gaining momentum, with the company deploying 10.4 GWh of energy storage products this quarter.

However, this increase is not expected to offset the decline in vehicle deliveries. Analysts predict that Tesla will generate revenues around $21.345 billion, while the crowdsourced financial estimate platform Estimize is forecasting slightly lower, at $21.254 billion. Both figures reflect a nearly $1 billion decrease from the same period last year.

Earnings per share (EPS) estimates are also down, with Wall Street expecting $0.41 and Estimize predicting $0.40, down from $0.45 in Q1 2024. Given the reduced deliveries and potential pricing pressures from the discounts offered to stimulate sales, analysts are closely examining Tesla’s gross margins to ascertain the true impact on profitability.

Several factors could contribute to a potential earnings surprise, including revenue recognition from Tesla’s full self-driving (FSD) launch in China or the sale of emission credits. However, the overall sentiment suggests that this earnings report may be complex.

Musk’s recent engagement in political matters has drawn criticism, and he has characterized this quarter as challenging, prompting speculation about a possible “live company update” aimed at reshaping perceptions. Investors will be keen to listen to the upcoming conference call for insights into Tesla’s strategy moving forward.