From Nasdaq: 2025-06-06 03:11:00

Tesla’s energy business is rapidly growing, with record-breaking results in 2024 and a surge in energy storage deployments. The division’s gross profit hit new highs, emphasizing its potential as a key growth engine for the company. Investors should take note of this underappreciated aspect of Tesla’s business.

In 2024, Tesla’s energy business saw a 67% increase in revenue, surpassing $10 billion. Energy storage deployment more than doubled from the previous year, showcasing strong demand and product-market fit. The division’s gross profit reached $2.6 billion, marking a significant growth trajectory and highlighting its evolving profitability.

Tesla’s energy storage products, particularly the Megapack, are driving substantial growth and profitability in the segment. The company’s focus on grid-scale battery solutions is paying off, with increased production capacity and demand for energy storage solutions. This strategic move is positioning Tesla as a key player in the energy market.

Demand for Tesla’s energy products, including the Powerwall for residential customers, continues to soar. The first-quarter of 2025 saw a 154% increase in energy storage deployment and a 67% growth in revenue. Tesla attributes this momentum to rising demand for artificial intelligence, showcasing the company’s innovative approach to energy solutions.

Despite potential risks like commoditization and tariff impacts, Tesla’s energy business is gaining traction and becoming a significant growth driver. The division’s rapid scaling and profitability are relieving pressure on the automotive business, offering investors a new perspective on Tesla’s potential for long-term success in the energy market.



Read more at Nasdaq: Tesla’s Energy Storage Business Is Quietly Growing at Triple-Digit Rates. Is This the Company’s Next Growth Engine?