{"id":39801,"date":"2025-07-23T22:01:51","date_gmt":"2025-07-23T22:01:51","guid":{"rendered":"https:\/\/site.itshrt.com\/worldnews\/tesla-profit-plunges-in-second-quarter-as-musks-turn-to-politics-keeps-buyers-away\/"},"modified":"2025-07-23T22:01:51","modified_gmt":"2025-07-23T22:01:51","slug":"tesla-profit-plunges-in-second-quarter-as-musks-turn-to-politics-keeps-buyers-away","status":"publish","type":"post","link":"https:\/\/site.itshrt.com\/worldnews\/tesla-profit-plunges-in-second-quarter-as-musks-turn-to-politics-keeps-buyers-away\/","title":{"rendered":"Tesla profit plunges in second quarter as Musk&#8217;s turn to politics keeps buyers away"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<\/p>\n<div id=\"\">\n<p>The fallout from Elon Musk&#8217;s plunge into politics a year ago is still hammering electric vehicle-maker Tesla, as both sales and profits dropped sharply again in the latest quarter.<\/p>\n<p>Tesla revenue dropped 12%, and profits slumped 16% in the three months through June as buyers continued to steer clear, and in some cases, turn to more affordable competitors&#8217; offerings.<\/p>\n<p>&#8220;The perception of Elon Musk, its chief executive, has rubbed the sheen right out of what once was a darling and soaring automotive brand,&#8221; Forrester analyst Dipanjan Chatterjee said in a research note, in which he called Tesla &#8220;a toxic brand that is inseparable from its leader.&#8221;<\/p>\n<p>Quarterly profits at the electric vehicle, battery and robotics company fell to $1.17 billion, or $0.33 a share, from $1.4 billion, or $0.40 a share, dropping for a third straight quarter. On an adjusted basis, the company said it earned $0.40, in line with Wall Street analysts&#8217; estimates.\u00a0<\/p>\n<p>Revenue fell from $25.5 billion to $22.5 billion in the April through June period, slightly beating Wall Street&#8217;s forecast. <\/p>\n<p>Tesla shares were little changed in after-hours trading as investors awaited Musk&#8217;s comments on the company&#8217;s earnings call.\u00a0<\/p>\n<h2>Betting on robotaxis<\/h2>\n<p>Musk, who helped elect President Donald Trump with a massive campaign donation and then headed his DOGE cost-cutting program, has pinned the future of the company squarely on its autonomous Robotaxi venture, which <span class=\"link\"><a href=\"https:\/\/www.cbsnews.com\/news\/tesla-robotaxi-launch-austin-texas-elon-musk-june-22\/\" target=\"_blank\" data-invalid-url-rewritten-http=\"\">launched in Austin, Texas<\/a><\/span> last month. It&#8217;s expected to take years, though, before Musk&#8217;s focus on robotaxis and humanoid robots turns a profit or the company.\u00a0<\/p>\n<p>&#8220;We are at a &#8216;positive crossroads&#8217; in the Tesla story: Musk is laser focused as CEO, Robotaxi\/autonomous expansion has begun, demand stabilization has begun especially in China, and Tesla is about to embark on an aggressive AI focused strategy that we believe will include owning a significant piece of xAI,&#8221; Wedbush Securities analyst Dan Ives said in a research note. &#8220;While near-term and this quarter the numbers are nothing to write home about, we believe investors are instead focused on the AI future at Tesla with a motivated Musk back driving Tesla&#8217;s future.&#8221;<\/p>\n<p>Foreign EV buyers have also turned away from Tesla <span class=\"link\"><a href=\"https:\/\/www.cbsnews.com\/news\/tesla-trade-ins-record-high-musk-backlash\/\" target=\"_blank\" data-invalid-url-rewritten-http=\"\">toward competitors&#8217; vehicles<\/a><\/span>, research shows. Musk alienated potential Tesla customers in Great Britain, France, Germany and elsewhere through his political activities. Rival electric vehicle makers such as China&#8217;s BYD and German&#8217;s Volkswagen, meanwhile, have gained market share. \u00a0<\/p>\n<p>Tesla faces other headwinds, too. The new federal budget just passed by Congress eliminates a $7,500 credit for EV buyers. It also wipes out penalties for car makers that exceed carbon emission standards. That threatens Tesla&#8217;s business of selling its &#8220;carbon credits&#8221; to traditional car companies that regularly fall short of emission standards.<\/p>\n<p>Tesla generated $439 million from credit sales, down sharply from $890 million a year ago.<\/p>\n<p>    <!-- data-recirc-source=\"queryly\" --><\/p>\n<aside class=\"component list recirculation component--type-recirculation \">\n        <\/aside>\n<p>    <!-- tags --><\/p><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.cbsnews.com\/news\/tesla-earnings-second-quarter-elon-musk-politics\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The fallout from Elon Musk&#8217;s plunge into politics a year ago is still hammering electric vehicle-maker Tesla, as both sales<\/p>\n","protected":false},"author":1,"featured_media":39802,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37],"tags":[3186,157,1120,703],"class_list":["post-39801","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-money-watch","tag-auto-industry","tag-donald-trump","tag-electric-vehicles","tag-elon-musk"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Tesla profit plunges in second quarter as Musk&#039;s turn to politics keeps buyers away - World News<\/title>\n<meta name=\"description\" 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