Tesla Capital Spending Seen at $7.771 Billion Ahead of Its and SpaceX's Results
Key Facts
Analysts expect Tesla's capital expenditure to reach $7.771 billion in the third quarter of 2026, according to estimates compiled by the company ahead of its earnings release, as SpaceX expands spending on artificial intelligence. The average estimate points to negative free cash flow of $4.506 billion during the period, ahead of results from the two companies linked to Elon Musk. Analysts' average revenue forecast for Tesla stood at $28.341 billion, according to the compilation published by the company's investor relations department. Average adjusted earnings per share were forecast at $0.45, based on the non-GAAP measures used in the estimates compilation. Analysts expected a gross profit margin of 17.9% for the same quarter.
For SpaceX, London Stock Exchange Group estimates cited by Reuters point to revenue of about $12.74 billion in the third quarter. They also forecast earnings per share of 14 cents for the period, ahead of the company's upcoming financial results. The company reported revenue of $7.8 billion in the second quarter, according to its official filing with the U.S. Securities and Exchange Commission. Revenue in the comparable period a year earlier was $4.1 billion, according to the same filing. Second-quarter revenue thus grew 92% year on year, ahead of the release of the following quarter's results.
Growth in Starlink's communications business and artificial intelligence drove SpaceX's second-quarter revenue increase, according to Reuters. Management attributed margin expansion to agreements to provide computing capacity, saying in its filing that "our new AI computing agreements drove significant margin expansion." The company also recorded a net loss of $541 million during that quarter, according to the official filing. Its capital spending on artificial intelligence reached $15.83 billion in the second quarter, Reuters reported. That spending stood at $749 million in the corresponding period a year earlier, as the company's computing business expanded.
In a development related to financing chip purchases, Reuters reported on October 6 that SpaceX was in talks to raise $40 billion. The talks include banks and asset managers, according to the agency's account of the parties with which the company is discussing the financing. The funds would be used to buy artificial intelligence chips from Nvidia, extending the company's capital spending on the business. Alongside the financing plans, speculation is circulating about a potential merger between SpaceX and Tesla, according to Reuters. But the agency said neither company nor Elon Musk had formally announced a commitment to support a merger deal.
On Tesla's operations, the company announced production of 464,391 vehicles in the third quarter, according to its investor relations statement on production and deliveries. Deliveries during the same period reached 486,532 vehicles, exceeding its reported quarterly production. The statement also covered energy storage operations, alongside the vehicle figures that precede the financial results announcement. Tesla said it deployed energy storage products with total capacity of 13.7 gigawatt-hours during the third quarter. These operations form part of the company's business as it prepares to present its financial results, including revenue, earnings and cash flows.
The earnings announcements begin with SpaceX, which scheduled the release of its third-quarter results for after the market close on Tuesday, October 20, 2026, according to its investor relations statement. Tesla follows with results for the same period after the market close on Wednesday, October 21, 2026, according to the official date announced by the company. After the quarterly results, Tesla's annual shareholder meeting is scheduled for December 3, 2026, according to the official proxy statement filed with the U.S. Securities and Exchange Commission. The meeting is scheduled to begin at three p.m. U.S. Central Time. It will be held in person at Gigafactory Texas, with online participation available, according to the statement.