Tesla has announced a remarkable $80 million profit from its Bitcoin holdings in the third quarter of 2025, driven by a surge in cryptocurrency prices. Notably, the company did not engage in any buying or selling of Bitcoin during this period, maintaining its position with 11,509 BTC, which was valued at approximately $1.35 billion as of September 30.
Bitcoin Gains Boost Tesla’s Financial Performance
The $80 million gain from Bitcoin was achieved without altering Tesla’s BTC holdings in the third quarter. The significant increase in Bitcoin’s price throughout the quarter contributed to a higher valuation of the company’s digital assets by the end of September. As of September 30, Tesla’s Bitcoin was valued at $1.315 billion, an increase from $1.235 billion three months prior. This profit was recorded in accordance with new accounting rules set forth by the Financial Accounting Standards Board (FASB), which now allow companies to report unrealized gains and losses on digital assets quarterly.
Under previous regulations, companies could only recognize losses when values dropped, but gains could only be recorded when assets were sold. The new guidelines provide a more accurate reflection of the fair value of digital assets on balance sheets.
Financial Results and Market Reaction
In addition to the Bitcoin profit, Tesla reported a third-quarter revenue of $28.1 billion, surpassing Wall Street expectations of $26.36 billion. However, adjusted earnings per share (EPS) came in at $0.50, falling short of the anticipated $0.54. It’s important to note that the $80 million Bitcoin gain was not included in the adjusted EPS calculation.
Tesla’s adjusted EBITDA for the quarter was reported at $4.3 billion, and the company ended the quarter with cash and equivalents totaling $41.6 billion, underscoring its robust financial standing despite the earnings miss. Following the earnings report, Tesla’s shares (TSLA) experienced a slight dip in after-hours trading, hovering around $434. Market reactions seemed muted, as the earnings miss was offset by the positive impact of the Bitcoin-related gain.
FASB’s New Rules Change the Reporting Landscape for Bitcoin
The introduction of new FASB rules has significantly altered the way companies report their cryptocurrency holdings. As of this quarter, firms like Tesla are required to recognize unrealized gains and losses on digital assets quarterly. This shift allows companies to acknowledge the increased value of their holdings without selling the assets, offering investors a clearer view of the digital assets on a company’s balance sheet.
Tesla’s ability to report an $80 million gain was made possible due to this change, which reflects the rise in Bitcoin’s value over the quarter.
Tesla Stays Committed to Its Bitcoin Holdings
Despite the volatility in the cryptocurrency market, Tesla did not modify its Bitcoin holdings during the third quarter. The company has consistently maintained its position of 11,509 BTC since its last reported transaction. By the end of Q3, the value of Tesla’s Bitcoin holdings had increased by approximately $80 million compared to the previous quarter. Although Bitcoin prices have fluctuated somewhat since September 30, Tesla’s digital asset position remains one of the most substantial among publicly traded companies.
The company’s strategy regarding Bitcoin appears unchanged, with no new purchases or sales disclosed in the recent earnings report.
