Tesla’s Q2 2025 Financials Reveal 16% Automotive Revenue Decline
by AutoExpert | 24 July, 2025
Tesla’s latest financial report just dropped—and it’s not exactly sunshine and rainbows. While most people saw this coming, thanks to rising competition and Elon Musk’s growing list of controversies, the numbers still sting.
In the second quarter of 2025, Tesla’s automotive revenue slid by 16%, falling from $19.9 billion to $16.7 billion. Total revenue also dipped 12% to $22.5 billion. Not surprisingly, gross profit was down too, dropping 15% to $3.9 billion. Adjusted EBITDA took a 7% hit as well, settling at $3.4 billion.
What’s behind the drop? Tesla points to fewer vehicle deliveries, shrinking revenue from regulatory credits, and the ongoing price cuts across the lineup. Competition is heating up, and Tesla isn’t riding as high as it used to.
Deliveries of the Model 3 and Model Y fell 12% to 373,728 units in Q2. The Cybertruck, meanwhile, still isn’t gaining much traction—just 10,394 units were lumped under “other” deliveries, which also includes the aging Model S and Model X. That’s a 52% decline.
Despite the numbers, Tesla is keeping its chin up. The company says its entire lineup is “better than ever” after recent updates and claims it’s still on track to launch new models later this year. That said, the long-promised Roadster is still stuck in the “design development” phase—so don’t expect it to show up in showrooms anytime soon.
There was also an update on Tesla’s robotaxi pilot in Austin. The company says it's working to improve and expand the ride-hailing service and plans to roll it out in more U.S. cities. Since the system isn’t tied to a specific location, Tesla believes it can scale it quickly with minimal investment.
One silver lining? Superchargers. Tesla added 904 new charging stations over the past year. That’s especially good news now that more non-Tesla EVs are gaining access to the network, something that’s quietly turning into a solid revenue stream.
All in all, Tesla’s Q2 was a bit rough, but the company seems focused on regrouping and looking ahead. Whether that pays off in the next quarter remains to be seen.
