Tesla's second-quarter revenue surged 26% to $28 billion, driven by growth in both its automotive and energy sectors. The automotive business saw a 23% increase in revenue, while its energy business, which includes battery storage solutions, reported a 13% rise to $3 billion.
Despite the revenue growth, Tesla experienced negative free cash flow of $1.1 billion for the first time in over two years. This downturn is attributed to a significant increase in capital expenditures, with the company spending $5.8 billion to bolster its investments in artificial intelligence and robotics. This strategic investment aims to expand Tesla's capabilities in these cutting-edge fields.
The company's performance led to a nearly 3% drop in Tesla shares in after-market trading following the announcement.
Source: Wall Street Journal US Business · Summarized by HeadlinesBriefing