Tesla did not sell any bitcoin in the third quarter of 2026, and the carrying value of its digital assets rose by $288 million as cryptocurrency prices increased. The paper gain boosted the value of its holdings while the electric-vehicle maker’s operating income fell 56% year over year.

Tesla published its third-quarter financial report on Oct. 21, recording $288 million in unrealized pre-tax gains from the revaluation of digital assets. The gain was $224 million after taxes.

Bitcoin holdings valued at $962 million

As of Sept. 30, the carrying value of Tesla’s digital assets was $962 million, up from $674 million at the end of June. The increase reflected asset revaluation rather than bitcoin sales.

According to Arkham Intelligence, Tesla’s cryptocurrency portfolio consists of 11,509 BTC. The amount held did not change during the quarter.

The carrying value of Tesla’s digital assets was $1.315 billion in the third quarter of 2025, $1.008 billion in the fourth quarter, $786 million in the first quarter of 2026 and $674 million in the second quarter. The third-quarter increase to $962 million ended three consecutive quarterly declines.

Tesla has held bitcoin since 2021, when it first reported its cryptocurrency investment. The company sold about 75% of its holdings in the second quarter of 2022, and the size of the portfolio has not changed materially since then.

Operating income falls 56%

Tesla reported third-quarter revenue of $28.05 billion, roughly unchanged from a year earlier and close to a forecast of $28.06 billion. Adjusted earnings per share were $0.48, compared with an expected $0.45.

GAAP net income fell 43% year over year to $787 million, while GAAP earnings per share declined to $0.22 from $0.39. Operating income dropped 56% to $718 million, and the operating margin narrowed to 2.6% from 5.8%. Gross margin increased to 19.6% from 18%.

Automotive revenue was $20.56 billion, compared with $21.2 billion a year earlier. Energy revenue fell 16% to $2.88 billion, while services and other revenue rose 33% to $4.61 billion.

Free cash flow totaled $1.53 billion, and quarterly capital expenditure reached $4.73 billion.

Vehicles, robotics and energy

Tesla produced and delivered its 10 millionth vehicle during the quarter, while Gigafactory Berlin reached a record production level. The company also began deploying Cybercab vehicles in its Robotaxi fleet in Austin.

More than 75% of new Tesla vehicles in North America were equipped with FSD (Supervised), nearly 20 percentage points more than in the previous quarter. Tesla unveiled an updated Semi and showcased the Next Gen Roadster on Oct. 15.

In its energy business, Tesla started production at Megafactory Texas, which has a planned capacity of 50 GWh. In Nevada, the company shipped the first Megapacks using LFP cells made at a local facility.

Tesla also began producing Optimus robots on high-throughput lines in Fremont. The company described them as the first production-grade robots built through that process. Tesla plans to reach 400 MW of computing capacity for training artificial-intelligence models by year-end.

Separately, Forbes reported that Elon Musk again became a trillionaire after SpaceX and Tesla shares rose. His net worth increased by $30.6 billion in a single trading day on Oct. 5, reaching about $1 trillion, according to Forbes.

Source: Incrypted