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This is big news - FSD cars already testing in the Netherlands. Now what does it mean for EPS ???

 

Total Revenue Calculation

8 million Tesla vehicles exist. 15% global penetration means 15% of those vehicles subscribe to the service. 15% of 8 million = 0.15 × 8,000,000 = 1,200,000 subscribers.

  • Each subscriber pays $100/month.

  • Monthly revenue = 1,200,000 × $100 = $120 million.

  • Annual revenue = $120 million × 12 months = $1.44 billion.

  • Profit Calculation (95% Margin)

  • Margins are 95%, so profit = 95% of revenue.

  • Annual profit = 0.95 × $1.44 billion = $1.368 billion.

  • Earnings Per Share (EPS) Impact = approx $0.46c per share.

  • At 30% it becomes a dollar.

Then OEM FSD license deals happen - adding more billions.

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Comments

Dan Menczel

Correct me if I'm wrong but most of the Teslas' hardvers cant run FSD. So the calculation need a 0.1 multiplier.

Cookies and Milk

But Teslas are only Level 2 FSD, which means they are not fully self driving. At least, this is what has been reported.