Tesla profit plunges in latest quarter as Musk's turn to politics continues to keep buyers away [View all]

Source: Associated Press

Tesla profit plunges in latest quarter as Musk’s turn to politics continues to keep buyers away

By BERNARD CONDON
Updated 5:32 PM EDT, July 23, 2025

NEW YORK (AP) — The fallout from Elon Musk’s plunge into politics a year ago is still hammering his Tesla business as both sales and profits dropped sharply again in the latest quarter.

The car company that has faced boycotts for months said Wednesday that revenue dropped 12% and profits slumped 16% in the three months through June as buyers continued to stay away.

“The perception of Elon Musk, its chief executive, has rubbed the sheen right out of what once was a darling and soaring automotive brand,” wrote Forrester analyst Dipanjan Chatterjee in an email. Tesla is “a toxic brand that is inseparable from its leader.”

Quarterly profits at the electric vehicle, battery and robotics company fell to $1.17 billion, or 33 cents a share, from $1.4 billion, or 40 cents a share. That was the third quarter in a row that profit dropped. On an adjusted basis, the company said it earned 40 cents a share, matching Wall Street estimates.

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Read more: https://apnews.com/article/tesla-musk-trump-electric-cars-earnings-quarterly-profit-f231ff787a2f80bb9d29f09b36fbe033