Tesla Inc (NASDAQ: TSLA) attributed a significant increase in its quarterly net earnings last night to its bitcoin holdings. The company recorded $1.08 billion as the carrying value of its bitcoin holdings in its fourth-quarter release – up sharply from $184 million at the end of Q3.

Tesla overall reported adjusted EPS of $0.73 in the fourth quarter, missing estimates for $0.76. The gain on its bitcoin holdings was for GAAP purposes and would have had no effect on adjusted EPS. Shares are higher by 3.5% in after hours trading.

Vaibhav Taneja acknowledged Tesla’s benefit from its Bitcoin holdings during the company’s Q4 2024 earnings call. CEO Elon Musk is a known proponent of cryptocurrency, so it doesn’t come as a shock that Tesla was holding on to a large chunk of Bitcoin.