Tesla beat Wall Street expectations on revenue and earnings per share in the second quarter but missed forecasts on free cash flow and energy storage deployments, according to Cantor Fitzgerald.
In a new research note released immediately after the results and before the earnings conference call, the analyst Andres Sheppard said Tesla‘s revenue came in $1.5 billion higher than the firm’s estimates.
” Tesla reported 2Q25 revenue of ~$22.5B, above our estimate/aggregated sell-side consensus of ~$21.0B/$21.8B (and vs. 2Q24 revenue of ~$25.5B), driven by 384,122 vehicle deliveries,” Cantor’s analyst stated.
The electric vehicle maker delivered 384,122 vehicles globally in the three months ended June 30, down from 443,956 in the same period a year earlier.
Non-GAAP diluted earnings per share came in at $0.40 in the second quarter, ahead of Cantor’s estimate of $0.36 and slightly above the consensus of $0.39. Tesla also reported adjusted EBITDA of approximately $3.4 billion.
GAAP gross margin was 17.2%, exceeding both Cantor and Street expectations of 16.6%. Excluding regulatory credits, gross margin stood at 15.3%.
Free cash flow was $146 million, falling well short of Cantor’s projection of $418.6 million and the consensus estimate of $356 million.
Tesla’s energy generation and storage business reported about $2 billion in revenue, down from $3 billion a year ago.
Deployments reached 9.6 GWh, below consensus of 11.8 GWh and down from 10.4 GWh in the first quarter.
Sheppard reaffirmed the Overweight rating on the stock and the $355 price target pending a model update.
The research note was published ahead of Tesla’s earnings conference call, scheduled for 5:30 p.m. Eastern Time.
Elon Musk and Tesla’s management are expected to provide further details on several topics.
The most upvoted questions on the Say Technologies platform include the expansion of the robotaxi service, the upcoming affordable EV model, the Optimus humanoid robot, developments in the energy storage business, and the xAI investment, the tariffs impact — among other topics.
Tesla said in the earnings deck that it is continuing to prepare for the launch of its Full Self-Driving (FSD) Supervised software in Europe and a “broader release” in China later this year, pending regulatory approval.
