Tesla profits rises in Q1 as Musk teases Roadster debut
Tesla’s profits rose in the first quarter of the year as auto sales rebounded from a sharp decline in 2025.
The electric vehicle maker, led by billionaire Elon Musk, said it earned US$477 million ($A666 million) in the quarter, up 17 per cent on the previous year.
Earnings per share were 13 cents. Adjusted for certain items, earnings per share came in at 41 cents, above Wall Street estimates of 36 cents.
Revenue rose to US$22.39 billion ($31.28 billion), driven by a 16 percent increase in automotive revenues.
Still, profits and revenue are far below their peak when cars were grabbing market share. Now that situation has reversed, with European and Chinese competitors stealing customers. The company lost its title as the world’s largest EV manufacturer last year to China’s BYD.
Musk has repeatedly shrugged off the car problems, emphasizing that Tesla’s future lies less in car sales and more in getting people to ride in driverless taxis.
Robotaxi miles doubled in the first quarter compared to the fourth quarter of 2025, the company said. They currently operate in three Texas cities, including San Francisco and Austin, where Tesla is headquartered.
Musk also highlighted Tesla’s production of robots for homes and businesses in a conference call with investors on Wednesday. He talked about breaking ground on a new factory for robots in Texas, called Optimus, with the potential to produce 10 million a year.
“I think Optimus will be our biggest product,” Musk said.
“Not only is it Tesla’s biggest product ever, it’s probably their biggest product ever.”
The company stated that it has started making Cybercabs without pedals or wheels. And Musk added a teaser to the call saying Tesla could launch its new, manually-driven Roadster sports car in a month or so.
The company is spending heavily on the transition, including $US2.5 billion ($3.5 billion) in capital expenditure last quarter, up 67 percent from the previous period.
Musk warned that there would be a “very significant increase” in the future.
Shares fell 1.0 percent in after-hours trading.
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