Tesla posts record deliveries and energy deployments in Q3

Tesla set new quarterly records for vehicle deliveries and grid-scale battery deployments in the three months to September, helping lift revenue 12% year-on-year to US$28.1 billion.

Automotive revenue rose 6% to US$21.21b, while energy generation and storage surged 44% to US$3.42b. Services and other revenue increased 25% to US$3.48b. Operating income decreased 40% year-on-year to $1.6b, resulting in a 5.8% operating margin.

On operations, Tesla produced 447,450 vehicles and delivered 497,099, including 481,166 Model 3/Y and 15,933 other models. Energy storage deployments hit 12.5GWh, a new high.

“In Q3, the Tesla team achieved record vehicle deliveries globally… while also achieving record energy storage deployments across the residential, industrial and utility sectors,” the company says.

“This strong performance resulted in both record revenue and free cash flow generation in the quarter.”

Product updates included the Model YL, Model Y Performance, and new Model 3 and Model Y Standard variants at the entry end of the range. In energy, Tesla unveiled Megapack 3 and Megablock, aimed at cutting the cost and time of large-scale battery projects.

The company reiterated its AI-led strategy across vehicles and energy.

 “We believe our scale and cost structure will enable us to navigate the shifting market dynamics across the globe more effectively than our peers, with advances in AI making our products the most compelling in the market…

“Every Tesla vehicle delivered today is designed for autonomy while every Tesla energy storage product is capable of being enhanced and optimized by our virtual power plant or Autobidder functionality.”

Tesla noted macro headwinds but kept a long-term focus.

“While we face near-term uncertainty from shifting trade, tariff and fiscal policy, we are focused on long-term growth and value creation.”