Overview
- Tesla reported fourth-quarter revenue of $24.9 billion, slightly above estimates, as net income fell 61% to $840 million and full-year profit declined 46% to $3.8 billion with annual revenue down about 3% to $94.8 billion.
- Vehicle deliveries dropped about 16% in Q4 and roughly 9% for 2025 to around 1.63 million, reflecting tougher competition, the end of a U.S. EV tax credit and reputational headwinds noted by analysts.
- Elon Musk said production of the Model S and Model X will wind down next quarter, with Fremont lines to be converted for Optimus humanoid robots, including a new line he said could reach up to 1 million units per year over time.
- Tesla disclosed an agreement to invest about $2 billion in Musk’s xAI, shifted Full Self-Driving to a $99 monthly subscription as it ends the one-time purchase option, expanded a robotaxi pilot in Austin with some rides run without a safety supervisor, and targets Cybercab production starting in April 2026 with an initially slow ramp.
- Energy-storage deployments rose about 29% to a record 14.2 GWh in Q4, while the company withheld a 2026 auto sales outlook and emphasized a transition toward autonomy and robotics.