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Elon Musk Tesla CEO. (Photo= Yonhap News) |
[Alpha Biz= Kim Jisun] Austin, TX, April 22, 2025 — Tesla reported a sharp decline in its first-quarter earnings, with revenue falling 9% year-on-year to $19.34 billion, and net income plunging 71% to $409 million. Earnings per share (EPS) came in at $0.12, significantly missing Wall Street estimates of $0.39 EPS and $21.11 billion in revenue, according to LSEG consensus data.
The electric vehicle maker delivered 336,681 vehicles during the quarter, marking a 13% drop compared to the same period last year. As a result, vehicle-related revenue also fell by 20% year-over-year.
Tesla cited increasing uncertainty in the global automotive market, driven by rapidly shifting trade policies and political developments. While the company did not directly reference former President Donald Trump, it noted that evolving policy landscapes could have short-term impacts on product demand—an apparent nod to concerns surrounding the potential return of Trump-era protectionist measures.
CEO Elon Musk has drawn criticism for focusing much of his attention this year on leading the Department of Government Efficiency (DOGE) under the second Trump administration. Additionally, his recent support for Germany’s far-right Alternative für Deutschland (AfD) party has sparked protests in both the U.S. and Europe, further damaging Tesla’s public image.
Tesla continues to face mounting challenges both domestically and internationally. In China, it is struggling to compete with emerging low-cost EV manufacturers. In the U.S., Tesla is lagging behind Alphabet’s Waymo in the rapidly expanding autonomous robo-taxi sector.
Tesla did not provide a clear outlook for the rest of the year but stated that it plans to reassess its growth projections in the second quarter.
알파경제 Kim Jisun (stockmk2020@alphabiz.co.kr)
