For the first time in a long time, Tesla offered no production guidance for 2024 during the Q4 2023 earnings call. Elon Musk warned that Tesla is "between two major growth phases," and the next one won't begin until the global expansion of the next-generation vehicle platform starts. Based on current plans, this might not become obvious until 2026.
Tesla released its financial results for 2023, showing exemplary discipline despite challenging market conditions. The results came close to analysts' expectations, slightly better in some areas and underwhelming in others. Although gross margin (17.6%) shrank from a year earlier as it cut prices, free cash flow remained strong in 2023 at $4.4 billion. Tesla is sitting now on more than $29 billion in cash and equivalents, which is enough to fuel its expansion plans and future model development.
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