Tesla’s earnings hit a new low, with largest revenue drop in years

Tesla issued her financial profits in the second quarter today, as she provided the latest evidence of the damage caused by Elon Musk’s political activities to his leading company.

Tesla said it had received $ 1.17 billion in net income at $ 22.5 billion of revenue. This is higher than Wall Street expectations of $ 22.3 billion, but it represents a 12 % decrease on an annual basis compared to $ 25.5 billion in the second quarter of 2024.

The company’s profits were also significant, as it recorded a 16 percent decrease in net income for the second quarter on an annual basis. Car revenues in Tesla – the money it earns from car sales – decreased by 16.6 percent on an annual basis, from $ 19.9 billion in the second quarter of 2024 to $ 16.6 billion in this last quarter. The sale of $ 439 million of regulatory credits again funded Tesla-although they are expected to dry shortly after the Republicans agreed to president Donald Trump’s plan to get rid of the fines of car manufacturers who exceed fuel efficiency.

The profits come in the wake of another terrible quarterly sales report for the company. Tesla said it provided a total of 384122 cars, a 14 % decrease compared to the second quarter of 2024. (For a direct consumer company like Tesla, delivery operations are sales agents.)

After years of cavity, the sudden reflection of Tesla’s wealth left many investors and supporters with the injury. Tesla now works as a realistic example of what happens when the company is left on Autopilot (or autopilot, as it was) while the attention of the CEO of a high -level company is distracted by questionable side questions.

Musk has publicly moved away from his controversial position as head of the Trump administration, and the Trump administration’s effort to reduce “waste, fraud and abuse” from the federal government, which mostly led to huge discounts for global humanitarian assistance and the release of thousands of federal workers. But although he publicly abandons Trump, Musk has not completely retracted his political activities. Earlier this month, he said it would create a new political party called the “America Party”, following its threat to the challenge of Republicans who supported the Trump budget bill.

While MUSK slips deeper into politics, investors urged him to continue to focus on Tesla and his designated-and doubtful project-to build more self-driving cars and human robots. The company launched the first roboti -roboty service, Texas, last month – although the service was less than the previous Musk predictions. The vehicles were only available to a group of pro -Tesla influencers, and each car came with safety monitoring in the passenger seat, which was accessible to the killing key.

While Musk would like investors to focus on Tesla work with AI and self -driving cars, the company is still working on making and selling cars. But with the high competition temperature in China and Europe, here in the United States, the federal incentives that reduce the price of most EVS by the end of September – again, are scheduled to disappear. After this, it is expected that the sales of Tesla will decrease more.