TS

Tesla, Inc. stock research

Mar 31, 2025

FY2025 Q1

Tesla (TSLA) Gross Margin — Quarter Ended Mar 31, 2025

Revenue, gross profit, and cost of revenue all declined from the prior quarter and from the same quarter last year. Gross margin was unchanged from the prior quarter but weakened compared with the year-ago period.

Gross margin takeaway

Quarter ended Mar 31, 2025 · FY2025 Q1

Revenue, gross profit, and cost of revenue all declined from the prior quarter and from the same quarter last year. Gross margin was unchanged from the prior quarter but weakened compared with the year-ago period.

  • The gross margin percentage held steady from the prior quarter, indicating that the decline in cost of revenue was aligned with the decline in revenue. The year-over-year decline in gross margin, however, shows that the proportion of gross profit to revenue has decreased relative to the same period last year.
  • Compared with the immediately preceding quarter, revenue, gross profit, and cost of revenue were lower while gross margin remained stable. Compared with the same quarter one year earlier, all metrics were lower and gross margin weakened.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

16.3%

Gross profit

$3.2B

Revenue

$19.3B

Cost of revenue

$16.2B

Quarter-over-quarter change

+0.1 pts

Year-over-year change

-1.0 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2024$25.5B$4.6B$20.9B18.0%
Sep 30, 2024$25.2B$5.0B$20.2B19.8%
Dec 31, 2024$25.7B$4.2B$21.5B16.3%
Mar 31, 2025$19.3B$3.2B$16.2B16.3%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Dec 31, 2024

+0.1 pts

Year-over-year change

Mar 31, 2024

-1.0 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The gross margin percentage held steady from the prior quarter, indicating that the decline in cost of revenue was aligned with the decline in revenue. The year-over-year decline in gross margin, however, shows that the proportion of gross profit to revenue has decreased relative to the same period last year.

Compared with the immediately preceding quarter, revenue, gross profit, and cost of revenue were lower while gross margin remained stable. Compared with the same quarter one year earlier, all metrics were lower and gross margin weakened.

Monitor whether the year-over-year decline in gross margin persists or stabilizes, as the filing discusses forward-looking statements regarding operations and liquidity, including risks such as supply chain constraints that could affect future margins.