Tesla’s second-quarter earnings revealed slightly missed estimates for sales and profit, with free cash flow plummeting by 89% from the same period last year. The company attributed its declining car sales to a “rough patch” ahead, citing the expiration of EV tax credits in the US as a contributing factor.
In an effort to bolster revenue, Tesla’s energy business is being touted as more critical than ever. However, the company did not provide any guidance on future growth or new product launches.
CEO Elon Musk hinted at a more stripped-down approach for its upcoming “affordable model,” which may disappoint investors seeking new and innovative vehicle options. Despite this, Musk expressed confidence in Tesla’s plans to introduce new vehicles in 2025, stating they are “on track.”
The absence of any mention about the company’s newest addition, the Cybertruck, raised eyebrows among investors and analysts. Furthermore, Musk made it clear that he wants more control over Tesla, which is expected to be addressed at the upcoming shareholder meeting on November 6.
Source: https://www.bloomberg.com/news/live-blog/2025-07-23/tesla-second-quarter-earnings