Tesla beats earnings projections after Musk floats SpaceX merger plan
Tesla reported better-than-expected third-quarter results, with adjusted earnings of $0.48 per share, beating the $0.44 expected by analysts. The company's earnings report came a day after CEO Elon Musk suggested a potential merger with SpaceX, his other company. Musk said the boards at both companies have formed special committees to discuss a possible tie-up. Tesla's stock slid more than 3% in extended trading despite the earnings beat.
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- ✓ Tesla's adjusted earnings were $0.48 per share, beating the $0.44 expected by analysts.
- ✓ Tesla's earnings report showed a drop in automotive revenue.
- ✓ Elon Musk suggested a potential merger between Tesla and SpaceX.
- ✓ The boards at both Tesla and SpaceX have formed special committees to discuss a possible tie-up.
What changed
Tesla reported its third-quarter earnings, beating expectations and causing its stock to fluctuate after hours.
Live updates
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Tesla beats earnings projections after Musk floats SpaceX merger plan
Tesla reported better-than-expected third-quarter results, with adjusted earnings of $0.48 per share, beating the $0.44 expected by analysts. The company's earnings report came a day after CEO Elon Musk suggested a potential merger with SpaceX, his other company. Musk said the boards at both companies have formed special committees to discuss a possible tie-up. Tesla's stock slid more than 3% in extended trading despite the earnings beat.
Why it matters
The potential merger between Tesla and SpaceX is being explored, with Musk saying it would be a 'good idea' and that there's 'a lot of merit' to it. However, the merger would require approval from 50% of all Tesla shareholders. Tesla's earnings report showed a drop in automotive revenue, but the company's free cash flow turned positive.
What is confirmed
- Tesla's adjusted earnings were $0.48 per share, beating the $0.44 expected by analysts.
- Tesla's earnings report showed a drop in automotive revenue.
- Elon Musk suggested a potential merger between Tesla and SpaceX.
- The boards at both Tesla and SpaceX have formed special committees to discuss a possible tie-up.
- Tesla cut its 2026 capital spending plan to about $20 billion.
Still unconfirmed
- A potential merger between Tesla and SpaceX would require approval from 50% of all Tesla shareholders.
What to watch next
- Tesla shareholder approval for a potential SpaceX merger
- Tesla's Q4 2026 earnings report
- Further updates on the SpaceX merger discussion
confidence 85%Sources used for this update (14)
- www.theguardian.com — AI godfather Geoffrey Hinton: ‘We’re creating alien beings. I’m willing to be selfish and choose humans’ | Donald Trump
- BBC — Tesla and SpaceX: Why does Elon Musk want to merge the companies?
- The New York Times — Elon Musk Says SpaceX and Tesla Are Exploring a Merger
- Bloomberg.com — Tesla Bulls Eying Merger Bump Find Stock Needs More Than Rockets
- CNBC — Tesla earnings loom after Musk calls SpaceX merger a 'good idea'
- The Guardian — Tesla to report earnings after Elon Musk floats SpaceX merger plan
- www.cnbc.com — Tesla (TSLA) Q3 2026 earnings report - CNBC
- www.theguardian.com — Tesla beats earnings projections after Musk floats SpaceX ...
- finance.yahoo.com — Tesla Beats Estimates as Musk Floats SpaceX Merger
- finance.yahoo.com — Tesla earnings beat puts SpaceX merger speculation back in focus
- finance.yahoo.com — Buy, Hold, or Sell Tesla Stock After Q3 Earnings & SpaceX ...
- evxl.co — Tesla Cuts 2026 Capex to $20B as SpaceX Spends $19.6B in One ...
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