Add as a preferred source on GoogleTesla Posts $1.5 Billion in Free Cash Flow as Musk Confirms SpaceX Merger Review
Adjusted earnings topped expectations even as revenue came in slightly below forecasts. No merger agreement has been reached.
Tesla generated $1.5 billion in free cash flow in the third quarter of 2026, beating expectations for a large cash outflow and putting its cash generation at the center of its results.
Adjusted earnings per share came in at $0.48, above analyst expectations. Revenue was slightly below forecasts, while gross margin reached 19.6%, ahead of estimates. The free cash flow result contrasted with market expectations for nearly $5 billion in cash outflow. Tesla shares rose about 1.2% in after-hours trading following the results.
Tesla had planned more than $25 billion in capital spending this year. It also arranged about $30 billion in new loans and credit lines for expansion across vehicles, batteries, autonomous driving and robotics.
Tesla CEO Elon Musk said Tesla and SpaceX each formed a special committee to examine a potential merger. No agreement has been reached, and a transaction may require support from a majority of Tesla shareholders.
John Kim
John Kim reports on the digital-asset business for TokenPost. Send corrections or tips to info@tokenpost.com.