Tesla’s Q2 Sales Jump Faces Cash Burn as AI Bets Expand

Tesla is set to report Q2 results with revenue around $26.2 billion (+16% YoY), adjusted EPS about $0.50, and EBITDA near $4.0 billion, buoyed by a 25% jump in deliveries to roughly 480,126 and strong energy storage growth. Growth is supported by a fully ramped Model Y and robust international demand (Europe and China), even as the US tax credit dynamics and price competition shape volumes. However, Tesla’s aggressive capex — including Optimus humanoid robots, data centers, and Cybercab — is driving heavy cash burn, with free cash flow forecast to be deeply negative (around -$3.25 billion) as capex climbs to about $6.7 billion. Investors are weighing whether rapid progress in Robotaxi and Optimus can justify the elevated AI investments and Tesla’s valuation, all while the stock remains down around 16% for the year.