Tesla’s profits sank sharply in the second quarter of 2024 | The company’s revenue increased by 2 percent compared to last year, but profits are down 45 percent year over year

ForgottenFlux@lemmy.world to Technology@lemmy.world – 297 points – Tesla’s profits sank sharply in the second quarter of 2024
theverge.com

Tesla published its second quarter earnings report, in which the company said it earned $1.48 billion in net income on $25.5 billion in revenue. That represents a 2 percent increase year over year compared to $24.9 billion in revenue in Q2 2023 but a 45 percent drop in net income.

Tesla’s gross margins were in the spotlight again, as bullish investors hoped to see improvements after years of steady decline. Rampant price cutting and cooling demand as well as cheaper financing have pushed the company’s once-vaunted margins to their lowest point in six years.

It has unquestionably been a whiplash of a quarter for the company. Tesla abandoned its plan to build a more affordable “Model 2” vehicle — and then recommitted to it. Musk announced a robotaxi reveal event for August but then delayed it until October. The company embarked on a massive series of layoffs, including the entire Supercharger team, and then hired many people back. Tesla’s advanced driver-assist technology came under harsh scrutiny after a previous recall failed to prevent driver misuse. And Tesla shareholders again approved a massive pay package for Elon Musk, after a judge tossed out the first one.

On top of all that, Musk endorsed Donald Trump for president, inserting his companies into a fraught political environment that is likely to have repercussions for Tesla’s sales and brand reputation.

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Wow, Elon's really earning that 45 million billion pay package. 🙄

Edited to fix the number -- thanks @RCTreeFiddy@lemmy.world !

Did that comp package actually get passed by the board? If so: Lmao jesus christ every single one of those fuckers deserves to be absolutely fleeced

Maybe it's because the Cybertruck is a piece of shit, and so is Elon

I honestly don't know how their stock hasn't completely tanked, one clusterfuck after another. Quality is shit, the Cyber Truck is all but finished, CEO is fruity, etc.

And to top it off, they struggle to produce the product. Seems everything is on a waiting list.

Stock valuations are based on Wall Street feefees, not the actual economic performance of a company. Even if said economic performance is shit, it only affects stock prices as much as institutional bankers feel like it should.

It's basically a casino run by the super rich, and people in the US get their retirements in its chips.

You’re not wrong but Tesla is probably more of a meme stock at this point. We might not be able to blame Wall Street for this one. There’s a lot of retail investors in Tesla stock because they think Elon is a super brain genius despite all evidence to the contrary.

I’m not in the US and I also get most of my retirement in stock market casino chips

Can Tesla cars still run client-side if when the grift cycle completes and Tesla goes bankrupt?

you dont need a cellular connection for it to function, just a decent chunk of its software options would stop working (for obvious reasons). and the built in maps would stop updating

A friend of mine recently told me that your seat position is stored server-side in case you own multiple Teslas, so if Tesla goes belly up, it's possible you won't be able to save your seat settings.

1.4b profit/quarter is just under 6b/year. How did he justify his 57b (ish) compensation package? Are Tesla shareholders morons?

You aren't giving Elon enough money. Sacrifice another 47 billion to your weird terfy god.

And shareholders approved that massive pay package lol

Delaware judge had a backbone... It doesn't happen often it was refreshing to see somebody taking a stand on this clown regime

the company said it earned $1.48 billion in net income on $25.5 billion in revenue

definitely worth $47 billion bonus :D

Elon is tanking this company.

I imagine it becomes a bit hard to care when you have both a literal and figurative line of people out the door waiting to suck your dick every day. While I admittedly appreciate the Jumpstart Tesla gave EV development, it's. Now time for it to die.

Status is all that people like Elon have left. When you can have anyhting, that's the only thing left for you to try to gain.

He 100% cares at being seen as incompetent. He won't ever go hungry again, but he will get up in his feels about this shit.

Pretty sure he never went hungry in the first place. If he cares about being seen as incompetent he sure doesn't seem to be showing it.

Are they still in the black? Yes? Then they have been ripping everyone off.

Oh no .. oh wait, I don't give a fuck.

Prices on EVs were crazy high following COVID, I'm glad they're finally coming down.

Prices on all cars were crazy high, not just EVs.

Prices on all cars were crazy high, not just EVs.

Were? They suddenly became sensibly priced? Guess I wasn't paying attention.

Lol...

People didn't like when Trump tried to interfere with the government. This is the consequences of Elons allegiance to trump & maga