Tesla’s profits sank sharply in the second quarter of 2024
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.
The company reported 18 percent gross margins based on generally accepted accounting practices, slightly more than the 17.4 percent reported...