Tesla bases post-Q2 outlook on hardware, software, and AI

Q2-2024 was the sixth successive quarter of y-o-y decline in Tesla's group operating margin as it fell 3.3pts to 6.3%. Although sequentially, the Q2 margin was an improvement from the Q1-2024 margin of 5.5%. This was entirely due to the higher sales of regulatory credits which increased to US$890m in Q2-2024 from US$442m in Q1-2024 and US$282m in Q2-2023.