Part 12/15:
Tesla’s record-high CapEx—over $3.5 billion in Q3—focused heavily on AI infrastructure, underpinning advancements in autonomy and robot development. Interestingly, despite high CapEx, R&D spending has been relatively subdued, with projections indicating a rebound in Q4 as the company prepares for new vehicle launches and innovations.
Expense Management and Efficiency
The company achieved a significant personnel reduction of over 10% in Q2, saving more than $1 billion annually. Combined with its low cost-to-revenue ratio, Tesla has restored a level of efficiency that empowers it to reinvest strategically while maintaining lean operations.