SAP posts first €10 billion quarter, raises 2026 revenue expectations
Third-quarter cloud revenue grew 26% to €6.67 billion, while the company maintained its annual operating profit forecast.
Tesla reports 43% profit decline, starts Optimus robot production
Revenue reached $28.04 billion in the third quarter as Tesla expanded spending on AI and robotics and reported lower regulatory credit sales.
Tesla said on October 21, 2026, that its third-quarter net income fell 43% to $787 million, while announcing the start of Optimus humanoid robot production in Fremont, California. Spending on artificial intelligence and robotics weighed on earnings, alongside a decline in regulatory credit sales.
The company earned $1.37 billion in the comparable 2025 quarter. Revenue edged down to $28.04 billion from $28.09 billion a year earlier, and was below the preceding quarter’s $28.23 billion.
Electric-vehicle revenue held steady at $20 billion compared with a year earlier. Deliveries totaled 486,532 vehicles, about 6,000 above the previous quarter but below the year-earlier level.
Solar and energy storage revenue fell to $2.8 billion, a 16% annual decline that Tesla attributed to tariff-related refunds to customers. Services revenue increased 33% to $4.6 billion. That business includes subscriptions for Full Self-Driving, Tesla’s advanced driver-assistance software. The broader services and other segment generated $734 million in gross profit, a quarterly record that helped sustain profitability.
The Fremont robot line uses space formerly devoted to electric-vehicle manufacturing. In its shareholder letter, Tesla described the Optimus units as its first production-quality robots and said the manufacturing process was suitable for a commercial product. It said further changes to the hardware and manufacturing process would continue.