Tesla hints at ‘Mannequin 2’ & next-gen EV designs

The next are dwell updates from Tesla’s Q1 2025 earnings name. I might be updating this text in actual time, so please maintain refreshing the web page to view the newest updates on this story.

16:20 CT – Howdy, and blissful earnings day to everybody! Whereas Tesla missed the Avenue’s expectations, the inventory has not proven its typical volatility in any respect. That being stated, this earnings name is sort of attention-grabbing because of the upcoming “Firm Replace.”

Tesla additionally reiterated its part about new automobiles that “stay on observe for begin of manufacturing within the first half of 2025” in its Replace Letter. What are these automobiles? Simply variants of the Mannequin 3 or Mannequin Y? Was the Cybertruck LR RWD one in all them already? Or are they really new vehicles that we’ve simply by no means seen earlier than?

Both manner, ten minutes and counting.

16:27 CT – Now I’m simply curious if the Firm Replace might be a video. The thumbnail Tesla is utilizing on X and YouTube exhibits an “Audio Webcast Solely” graphic although. Three minutes and counting.

16:28 CT – And there’s the music. Surprise if it’s going to be on time.

16:34 CT – Annd we’re now on the Elon time threshold. Tesla inventory is definitely up 4% in after-hours right now. Fairly nutty contemplating that the Q1 earnings are a miss.

16:36 CT – The earnings name is formally beginning. Right here we go.
Elon Musk takes the stage. “There’s by no means uninteresting second as of late,” he stated. He admits to the blowback from his work with DOGE. He additionally admitted that these in opposition to DOGE are sure to assault him and his corporations, akin to Tesla. Musk reiterates his perception that it’s necessary to combat waste and fraud. “I believe it’s crucial work,” Musk stated.

16:40 CT – Musk discusses the protests in opposition to Tesla. He alleges that the protests aren’t natural. “The precise motive for the protests is that those that are receiving the waste and fraud wish to proceed receiving the waste and fraud,” he stated.

Musk notes that beginning subsequent month, in Could, his time allocation for DOGE will drop considerably. He’ll proceed to spend a day or two on authorities issues or so long as the U.S. President needs him to. “Beginning subsequent month, I might be allocating extra of my time with Tesla,” Musk acknowledged.

16:43 CT – Musk famous that Tesla isn’t any stranger to challenges, however Tesla has been by way of the ringer a number of occasions previously. “We’re not on the ragged fringe of dying….not even shut,” he stated.

He additionally highlighted that Tesla is on the cusp of autonomous vehicles and autonomous humanoid robots. Musk expects surprising bumps this 12 months, however he stays assured on the way forward for Tesla. The thought of Tesla probably being essentially the most worthwhile firm on the planet by far was reiterated. “Perhaps as worthwhile than the following 5 corporations mixed,” he stated. 

“We count on to be promoting totally autonomous rides in June in August,” Musk acknowledged. He additionally acknowledged that autonomy in vehicles will have an effect on the underside line by mid-2026.

16:47 CT – Musk discusses Tesla’s provide chain, highlighting that Tesla is the least affected automaker by the Trump tariffs. That being stated, Tesla has been working to localize its provide chains for years. He admitted that tariffs are powerful on corporations the place the margins are so low. Musk additionally clarified that he continues to advocate for decrease tariffs, however that’s all he can do. Trump has the choice.

“The tariff resolution is completely as much as the President of the US. I’ll weigh in on the choice, however its primarily as much as the President. I proceed to advocate for decrease tariffs quite than larger tariffs,” Musk stated.

16:50 CT – Musk famous that he would now clarify why he’s very excited for Tesla’s future. He famous that Tesla is laser-focused on bringing autonomy in June in Austin, Texas. He highlights Tesla’s basic strategy to autonomy. 

“We’ve a basic answer (to autonomy) quite than a selected answer,” Musk stated.

He additionally famous that Tesla expects to make use of 1000’s of Optimus robots in its factories this 12 months. He expects Optimus’ ramp could be one of many quickest. By 2030, or 2029, one million Optimus per 12 months is believable.

16:52 CT – Musk highlighted that the Tesla Power unit is doing very properly. “We count on the stationary power storage to scale to terawatts per 12 months,” he stated.

16:54 CT – Musk acknowledged that Tesla selected to replace the Mannequin Y in Q1 as a result of the primary quarter tends to be the weakest. Folks don’t normally purchase a variety of vehicles in winter, in spite of everything. He highlighted that the Mannequin Y is the world’s best-selling vehicles. 

“We picked Q1 to chop over to the manufacturing of the brand new Mannequin Y…on the similar time in factories the world over,” Musk acknowledged, including that, “In conclusion, whereas there are lots of headwinds, the way forward for Tesla is brighter than ever.”

He thanks the Tesla staff and acknowledged that he’s wanting ahead to main the staff.

16:56 CT – Tesla CFO Vaibhav Taneja takes the stage. He defined the corporate’s diminished automobile deliveries, which had been attributable to the changeover to the brand new Mannequin Y throughout its factories. He additionally famous that the unfavorable results of vandalism and unwarranted hostility in direction of Tesla and its workers affected gross sales in some areas.

The CFO famous that even with these challenges, Tesla was capable of promote out legacy Mannequin Y in Q1. “We’ve an especially aggressive automobile lineup and after that we now have FSD,” he stated.

17:03 CT – Taneja famous that the Powerwall 3 has been acquired properly by clients and Tesla is presently provide constrained.

He additionally discusses the results of tariffs, although he highlighted that Tesla is a really American automaker. Tesla isn’t resistant to the tariffs, however the firm might navigate the difficult panorama higher than different automakers. That stated, Tesla’s US lineup complies with USMCA by 85%. The corporate is engaged on non-China battery suppliers as properly.

17:06 CT – Say Questions start. First up is a query concerning the highest threat gadgets on the crucial path to robotaxi launch and scaling. Elon acknowledged that robotaxis in June in Austin might be comprised of a Mannequin Y fleet.

“Teslas that might be totally autonomous in Austin might be Mannequin Ys,” Musk stated, including that Tesla’s paid autonomous rides might be coming to different cities later this 12 months. “I predict there might be thousands and thousands of Teslas working totally autonomously within the second half of subsequent 12 months [in the US].”

Musk did state that there might be some localized parameters for Tesla’s paid autonomous rides in several areas, like snowy areas. A very good driver in California received’t be nearly as good in the midst of a blizzard in winter, in spite of everything.

17:09 CT – Ashok Elluswamy, VP of Autopilot/AI Software program at Tesla, famous that localized parameters nonetheless comply with Tesla’s basic strategy to autonomous vehicles. He additionally highlighted that validation continues to be crucial for robotaxi operations. In Tesla’s factories right now alone, there may very well be many days with out interventions, making it exhausting to determine if FSD Unsupervised is working as meant.

Musk and Taneja joked that Tesla clients in China are actually pushing FSD to its limits. Folks in China “placing [FSD] to the actual take a look at,” Musk acknowledged.

Cybercab can also be in pattern validation now, and it’s nonetheless scheduled for manufacturing subsequent 12 months.

17:12 CT – One other query is requested, this time about when FSD Unsupervised might be launched. “Earlier than the top of this 12 months” in the US, Musk acknowledged, including that FSD Unsupervised have to be meaningfully safer than human drivers earlier than it’s launched.

17:15 CT – A query about Tesla’s new cheaper fashions is requested, and if the corporate is targeted on simplified variations to boost affordability, much like the RWD Cybertruck.

Tesla VP of Automobile Engineering Lars Moravy famous that these cheaper automobiles are nonetheless on observe. The ramp is slower than we hoped however nothing is obstructing the corporate from preliminary manufacturing.

17:21 CT – One other query is requested, this time about how FSD Unsupervised will compete in opposition to Waymo’s providing, particularly relating to pricing, geofencing and regulatory flexibility.

“The problem with Waymo’s vehicles is that it price waayy more cash,” Musk joked. He additionally acknowledged that Teslas price 1 / 4 or 20% what a Waymo price, and the corporate’s automobiles are made in massive quantity.

Musk predicts 99% market share for robotaxi except different corporations can deploy the identical quantity of automobiles on the roads as Tesla. “I don’t see anybody with the ability to compete with Tesla at current,” he acknowledged.

By the top of the 12 months Musk is assured that the Mannequin Y will drive itself all the way in which to the shopper autonomously from the manufacturing unit.

17:25 CT – A query concerning the unboxed technique and the way that’s progressing was additionally requested. Tesla notes that the corporate’s unboxed course of is progressing. “You’ll see it on assessments and roads within the coming months.” Tesla can also be centered on bettering the tactic, like marrying sub-assembly areas collectively. “It is a revolutionary manufacturing system,” Musk famous.

When describing the Cybercab line, Musk acknowledged that “it should finally obtain a cycle time of 5 seconds or much less.” To this point, Tesla is quickest at 33 seconds in Giga Shanghai.

17:29 CT – A query about tariffs and political biases was requested. The executives famous that Tesla may be very localized already. Localization for Tesla is 85% in North America and 95% in China. “We’re ridiculously vertically built-in,” Musk acknowledged.

Tesla makes lithium, cathode and cells. Solely factor left is the anode. Musk additionally acknowledged that Tesla’s in-house cells are essentially the most aggressive.

17:34 CT – A query was requested if Tesla has battery provide constraints. Tesla executives famous that whereas tariffs pose a problem, Tesla is ready to face it. Tesla can also be not battery constrained for automobiles.

17:36 CT – One other query was requested, this one about “model harm.” Executives highlighted that Q1 was all concerning the new Mannequin Y changeover, and the corporate continues to be dominating its segments. “Tesla isn’t resistant to the macro demand for vehicles,” executives famous.

17:39 CT – A query is requested about Optimus’ manufacturing line. Musk famous that Optimus continues to be in improvement, so most of its manufacturing might be on the finish of the 12 months. He additionally famous that the majority issues for Optimus manufacturing is new, so it’s ramp has its challenges.

Musk famous that Optimus is affected by the Trump administration’s tariffs in opposition to China because the humanoid robotic makes use of robots from the nation. Elon Musk additionally reiterated the concept that Tesla will produce 5,000 Optimus robots this 12 months.

17:40 CT – Analyst questions start. Pierre Ferragu of New Avenue Analysis mentioned the market share of Tesla’s vehicles. Musk famous that “the fact is sooner or later most individuals aren’t going to purchase vehicles.” The CEO recalled that when the iPhone got here out, veteran telephone makers like Nokia opted to proceed making legacy merchandise. Shoppers, nevertheless, wished essentially the most clever product obtainable.

17:43 CT – Emmanuel Rosner from Wolfe requested concerning the FSD and its required variety of human interventions. What nonetheless must occur for FSD to be Unsupervised? Tesla famous that it’s conscious of conscious of the interventions taking place in public FSD, and the robotaxi service rolling out in a few months might be centered on key areas. “We actually working by way of a protracted tail of bizarre interventions,” Tesla executives famous.

When requested if Tesla will want distant operators, Tesla famous that the robotaxi service in Austin will use use them, however provided that completely wanted.

17:46 CT – Edison from Deutsche Financial institution requested how Optimus’ provide chain will appear to be. Musk famous that Tesla is targeted on localization, particularly contemplating geopolitical uncertainty. The analyst adopted up with the variety of robotaxis in Austin in June. Musk famous that Day 1, there’ll in all probability be 10 vehicles to watch.

17:49 CT – A Cannaccord analyst requested about FSD pricing. Tesla executives famous that individuals who purchased FSD sometimes consider that FSD is just too low cost, particularly its month-to-month subscription. Granted, FSD is insistent that drivers take note of the highway, which impacts the pricing. However when FSD is already totally unsupervised, that month-to-month price will really feel very reasonably priced.

When requested concerning the Indian market, Tesla defined that India is a really exhausting market due to its taxes.

17:53 CT – Colin Langan from Wells Fargo requested about Tesla’s imaginative and prescient primarily based strategy and the way the corporate plans to get round points like solar glare and mud. Musk famous that Tesla makes use of Direct Photon Counting to see clearly by way of fog, mud, and solar glare. With this, Teslas can drive instantly going through the solar or in extraordinarily darkish environments.

The analyst requested if the reasonably priced vehicles will simply be a less expensive Mannequin Y. In response, Lars Moravy famous that Tesla is utilizing its present traces, limiting the design of the cheaper mannequin. The brand new vehicles will depend upon present traces, so least their kind issue might be acquainted.

17:57 CT – Adam Jonas of Morgan Stanley requested concerning the Trump tariffs. Musk highlighted that he’s simply one in all many advisers, and he doesn’t make choices. “I’m an advocate for predictive tariff buildings,” Musk famous.

As a comply with up, Jonas requested if Musk believes the US or China is forward within the improvement of AI humanoids and drones. Musk laughed and famous that it’s apparent which one is forward in drones. America sadly can not manufacture its personal drones, and China holds a notable quantity of the provision chain. Musk highlighted that US mustn’t rely a lot on China to make drones.

He famous that Tesla and SpaceX might be on the prime of corporations’ rankings, however he’s apprehensive that ranks 1 by way of 10 will all be Chinese language corporations.

18:02 CT – And that wraps up Tesla’s Q1 Firm Replace and earnings name! Tesla actually answered a variety of questions on this name, making it one of many longest Q&A periods thus far.

With that, until the following time, everybody!

Tesla’s livestream of its Q1 2025 Firm Replace and earnings name could be considered under.