Q2 25 EPS

$0.40

MISS 1.11%

Est. $0.40

Q2 25 Revenue

$22.50B

BEAT +1.67%

Est. $22.13B

vs S&P Since Q2 25

+9.4%

BEATING MARKET

TSLA +22.9% vs S&P +13.6%

Market Reaction

Did TSLA Beat Earnings? Q2 2025 Results

Tesla delivered a mixed second quarter, narrowly missing earnings expectations while edging ahead on revenue as deepening margin pressure underscored the cost of its aggressive push into autonomy and AI. Non-GAAP EPS came in at $0.40, falling just sh… Read more Tesla delivered a mixed second quarter, narrowly missing earnings expectations while edging ahead on revenue as deepening margin pressure underscored the cost of its aggressive push into autonomy and AI. Non-GAAP EPS came in at $0.40, falling just short of the $0.40 consensus by 1.11%, while revenue of $22.50 billion edged past estimates by 1.67%, though it still represented an 11.8% decline year over year. The primary drag was a steep contraction in automotive revenue, which fell 16% to $16.66 billion, compounded by a sharp drop in regulatory credit sales to $439 million from $890 million a year ago and lower vehicle average selling prices. GAAP operating income tumbled 42% to $923 million, with R&D expense surging to $1.59 billion as the company expanded its AI compute infrastructure and launched its Robotaxi service in Austin. The results arrive as broader auto sector peers also navigate tariff headwinds, adding another layer of demand uncertainty. Looking ahead, Tesla said it has sufficient liquidity to fund its roadmap, with a more affordable model and Cybercab volume production both targeted for 2026.

Key Takeaways

  • Decline in vehicle deliveries drove lower automotive revenue
  • Lower regulatory credit revenue reduced both revenue and operating income
  • Reduced vehicle ASP due to mix shifts
  • Growth in Services and Other revenue up 17% YoY
  • Energy gross profit reached record $846 million
  • Increased R&D spending on AI and autonomy projects
  • Lower cost per vehicle from mix and lower raw materials, partially offset by lower fixed cost absorption and tariff increases
  • Decrease in restructuring charges improved operating expenses
24/7 Wall St

TSLA YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

TSLA Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 24 Q1 26