Syrah Resources announced on Monday that it has reached a third agreement with Tesla to extend the deadline for resolving an alleged breach of their graphite supply contract. The extension grants Syrah until March 31 to supply the first commercial volumes of purified spherical graphite from its Balama facility in Mozambique, a critical input for Tesla’s battery anode production. Syrah had previously delivered pilot quantities in late 2024 but fell short of the minimum annual volume of 30,000 metric tons stipulated in the original 2019 contract. Syrah’s share price rose 4% in Sydney trading following the announcement, underscoring investor relief that Tesla has not terminated the deal outright and preserving Syrah’s expected revenue stream of up to A$120 million per year once full commercial volumes commence.

Tesla will report fourth-quarter 2025 results on January 28, following a 16% year-over-year decline in deliveries to just over 418,000 vehicles and a 9% drop in annual deliveries to 1.64 million units. Wall Street consensus forecasts call for earnings per share of $0.45, down 38% from Q4 2024, and revenue of $24.76 billion, a 4% year-over-year decrease. Investors will scrutinize CEO comments on the planned expansion of a robotaxi fleet and progress on the Optimus humanoid robot programme—areas that management projects could contribute up to 15% of total gross margin by 2027. Analysts caution that, despite a 17% gross margin in Q3, Tesla’s valuation already incorporates significant future gains from autonomous fleet services, making any guidance shortfall a potential catalyst for near-term share volatility.