SpaceX and Tesla are set to report their third-quarter results on consecutive days this week, offering investors a rare opportunity to compare the financial performance of Elon Musk’s two most valuable companies as merger speculation intensifies. SpaceX will announce its results on Tuesday, followed by Tesla on Wednesday after market close. Investors will closely monitor Starlink’s revenue growth, Tesla’s automotive profit margins and the companies’ ability to finance their expanding artificial intelligence (AI) ambitions. Although a potential merger has attracted market attention, neither company nor Musk has officially committed to a deal.
SpaceX is expected to report third-quarter revenue of approximately $12.74 billion and earnings of 14 cents per share, according to LSEG estimates. The figures come amid significant investment in AI infrastructure, following $15.8 billion in AI capital spending in the second quarter. Connectivity revenue, including Starlink, rose 66% to $4.3 billion during that period. The company’s recent agreement to acquire 800 MHz of spectrum from Grain Management for around $8 billion also supports its Starlink Mobile expansion, subject to regulatory approval. Meanwhile, Tesla is expected to report adjusted earnings of around 43 cents per share on revenue of $27.88 billion, compared with 50 cents per share a year earlier. Its third-quarter deliveries reached 486,532 vehicles, exceeding analysts’ expectations, even as concerns over profitability and substantial capital expenditure persist.
Merger discussions have gained momentum ahead of Tesla’s annual shareholder meeting scheduled for December 3, with Barclays suggesting that a deal could be announced before the event and identifying SpaceX as the more likely acquirer. An all-stock transaction could give Musk approximately 37% of the combined company’s equity and 56% of its voting power, according to Barclays estimates. SpaceX’s acquisition of Musk’s AI company xAI earlier this year and Tesla’s growing focus on AI, robotaxis and humanoid robots have further strengthened speculation about closer integration. Tesla’s unveiling of its next-generation Roadster, featuring rocket-inspired technology, has also highlighted the potential engineering links between the businesses. However, investors will be watching the latest earnings for evidence that revenue growth and operational performance can support Musk’s increasingly ambitious AI and technology investments.
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