To The Moon

$Tesla Motors(TSLA)$ revenue, net income, and EPS missed consensus, and free cash flow became negative for the first time since the epidemic. Revenue fell 9% year-on-year, the largest decline since 2012. EPS: Adjusted $0.45, expected of $0.52 Revenue: $21.30 billion, expected of $22.15 billion Q1revenue declined from $23.33 billion a year earlier and from $25.17 billion in the fourth quarter of 2023. Among them, automotive business revenue fell 13% year-on-year to $17.38 billion. Energy generation and storage revenue rose 7% year over year to $1.64 billion Services and other revenue increased 25% year over year to $2.29 billion. Gross profit margin fell to 17% from 19.3% in the same period last year, and operating profit margin fell to 5.5% from 11.4% one year ago. Net income tumbled 55% to US$1.13 billion from US$2.51 billion a year ago. Capital expenditures rose to $2.77 billion in the first quarter, a 34% increase year over year. Free cash flow turned negative in the first quarter as -$2.53 billion. A year ago, Tesla had free cash flow of $441 million, and that number hit $2.06 billion in the fourth quarter. Tesla attributed the negative figure to a $2.7 billion buildup in inventory and $1 billion in capital expenditures on “AI infrastructure.” Tesla reiterated its pessimistic outlook for 2024 during its earnings call, telling investors that “volume growth rate may be notably lower than the growth rate achieved in 2023.”