Tesla keeps revenue at $28bn as it builds out AI training compute
Tesla's September quarter revenue was $28.0bn, in line with the $28.06bn consensus as reported by MarketBeat, while profit fell and capital spending rose.
Tier Tier 2 news
Tesla
TSLA
Q3 2026
- Revenue
- $28.0 billion ($28,046 million)
- Revenue change, year on year
- Down 0.2% from $28,095 million a year ago by our arithmetic
- Net income (GAAP)
- $787 million, down 43% from $1,373 million a year ago by our arithmetic
- EPS (diluted, GAAP, as reported)
- $0.22, prior year $0.39
- EPS (diluted, adjusted, as reported)
- $0.48, prior year $0.50
- Margins
- GAAP gross margin up 160 basis points year on year. Operating margin down 322 basis points. Income from operations $718 million, down from $1,624 million a year ago
- Key segment line
- Automotive $20,560M, down from $21,205M a year ago. Energy generation and storage $2,881M, down from $3,415M. Services and other $4,605M, up from $3,475M. Storage deployed 13.7 GWh, up from 12.5 GWh
- AI line
- AI training compute: Cortex 1 over 105 MW and Cortex 2 over 120 MW in production, plan to reach 400 MW by year end. Optimus production began in Fremont. Cybercab joined the Austin Robotaxi fleet
- Cash
- Operating cash flow $6.3bn, free cash flow $1.5bn ($1,531M, down from $3,990M a year ago), capex $4,732M, cash and securities $45.4bn
- Guidance
- No numeric guidance. Outlook is qualitative
Tesla builds electric cars, giant batteries and robots, and it trains its own AI to drive them. Its September quarter revenue came in at $28.0bn, flat on a year ago and in line with the $28.06bn consensus as reported by MarketBeat. Profit was $787M, down 43% from $1,373M a year ago by our arithmetic. Profit per share was $0.22, or $0.48 on the company's adjusted basis. Car revenue was $20.6bn, a bit lower, while services grew to $4.6bn. Tesla spent $4.7bn on new factories and equipment in the quarter. It now runs over 225 MW of AI training computers in Texas by our arithmetic and plans to reach 400 MW by the end of the year. It also started building Optimus robots in Fremont and added Cybercab to its Austin Robotaxi fleet. Why it matters to you: Tesla is playing two seasons at once, selling cars today while paying for the AI computers and robots it hopes will drive its future. Filing: Tesla 8-K, filed 21 Oct 2026
Tesla posted September quarter revenue of $28.0bn, in line with the $28.06bn consensus as reported by MarketBeat, as profit fell and it set a 400 MW AI training compute goal for year end.
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Revenue and profit changes are our arithmetic from the same release's figures. Only revenue is set against consensus. The 225 MW figure is our arithmetic, adding the two training sites the company lists as over 105 MW and over 120 MW. The release gives no numeric guidance and no AI revenue figure. No share prices or price moves.