Tesla: Tesla reports robust profit increase on strength of battery storage sales

The company said it earned $2.2 billion from July through September, compared with $1.9 billion in the same period last year. Sales were $25.2 billion, compared with $23.4 billion a year earlier. But Tesla warned investors to expect only “slight growth” in the number of cars it will deliver this year.

Much of Tesla’s strong performance came from things other than selling vehicles. Sales of storage batteries, which are used by utilities, businesses and homeowners, jumped 52% in the quarter from a year earlier, and revenue from services such as charging climbed 29%.

The company also made $739 million from selling regulatory credits to other automakers that need them in order to meet emissions regulations. That number was up 33% from a year earlier.

Tesla, which is led by Elon Musk, accounts for almost half the electric cars sold in the United States and is a bellwether for electric car demand.

Slower overall growth in electric car sales this year can largely be attributed to Tesla, which this month reported a 6% increase in the number of vehicles it sold in the third quarter after sales fell in the first six months of the year.

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Recent data has hinted at a pickup in electric car sales as companies including General Motors and Hyundai introduce new models. But no automaker except Tesla accounts for more than 10% of the U.S. electric car market. The company said Wednesday that new models would be coming next year. “Preparations remain underway for our offering of new vehicles — including more affordable models — which we will begin launching in the first half of 2025,” Tesla said in a statement.

During a conference call to discuss the results, Musk predicted that the new vehicles would increase sales by 20% to 30% next year, barring an economic decline or other events outside Tesla’s control.

Musk spent most of the conference call discussing self-driving technology. “I think we’ve made very clear the future is autonomous,” he said. Tesla will offer autonomous rides in California and Texas next year, pending regulatory approval, Musk said.