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Tesla misses on earnings, as free cash flow turns negative and margins slide

News | 2026/07/22 16:00

Tesla misses on earnings, as free cash flow turns negative and margins slide

Tesla's revenue beat expectations, but earnings fell

Tesla (TSLA) reported its Q2 2026 earnings, indicating that the company missed expected earnings but beat revenue estimates:

The company's stock price is down 17% this year, while the Nasdaq has risen:

Earlier this month, Tesla reported a 25% increase in year-over-year auto deliveries for the second quarter, following consecutive annual declines:

The company's revenue was $28.24 billion, exceeding the $25.71 billion forecast, but earnings were 33 cents, while 51 cents were expected:

Tesla's core automotive segment generated $20.52 billion in revenue, up 23% from a year ago:

Operating expenses climbed 47%, totaling $4.35 billion:

Free cash flow turned negative at $1.1 billion:

Tesla plans to continue investing in artificial intelligence and other research projects:

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