- Tesla reported second-quarter revenue of $22.5 billion, down 12% year-over-year.
- The company said volume production of a more affordable model is on track for the second half of 2025.
- Missed the rally? Learn exactly where the next leaders are emerging here.
Electric vehicle giant Tesla Inc TSLA reported second-quarter financial results after market close Wednesday.
What Happened: Tesla reported second-quarter revenue of $22.5 billion, down 12% year-over-year. The revenue missed a Street consensus estimate of $22.8 billion according to data from Benzinga Pro.
The company reported Automotive revenue of $16.66 billion, down 16% year-over-year.
Tesla's earnings per share were 40 cents in the quarter, missing a Street consensus estimate of 42 cents per share.
The company said revenue declined due to lower deliveries, lower regulatory credit revenue and lower average selling prices, offset slightly by growth in services and other revenue.
Operating income was $0.9 billion in the quarter, down 42% year-over-year. Tesla's operating margin was 4.1% for the quarter.
Tesla previously reported second-quarter deliveries of 384,122, down from 443,956 in the same quarter last year. Production of 410,244 units in the quarter was down slightly from 410,831 in last year’s second quarter.
The company called the second quarter a "seminal point" in history as the beginning of a transition from leading the electric vehicle and renewable energy industries to also becoming a leader in AI and robotics.
Tesla highlighted the launch of its first Robotaxi service in Austin, Texas in June.
The company ended the quarter with $1.24 billion in digital assets on the balance sheet, likely related to its Bitcoin BTC/USD holdings. The value increased from $951 million in the previous quarter, following Tesla’s recent adoption of a new reporting method for valuing its cryptocurrency holdings.
Tesla ended the quarter with $36.8 billion in cash and investments.
What's Next: Tesla said it continues to expand its vehicle offerings with the first builds of a more affordable model in June and volume production planned for the second half of 2025. Tesla is also continuing the progress of the Tesla Semi and Cybercab, both planned for volume production in 2026.
"Despite a sustained uncertain macroeconomic environment resulting from shifting tariffs, unclear impacts from changes to fiscal policy and political sentiment, we continue to make high value investments in CapEx and R&D, while ensuring a strong balance sheet," the company said.
Tesla said its priorities remain as delivering affordable autonomy-capable vehicles, growing the Energy business and advancing robotic efforts.
The company said it has enough liquidity to fund its product roadmap.
"We are making prudent investments that will set up both our vehicle and energy businesses for growth, the actual results will depend on a variety of factors, including the broader macroeconomic environment, the rate of acceleration of our autonomy efforts and production ramp at our factories."
TSLA Price Action: Tesla stock is down 0.3% to $331.55 in after-hours trading Wednesday versus a 52-week trading range of $182.00 to $488.54.
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