Tesla has reported a significant drop in profits for the second quarter of this year, according to results published by the electric car manufacturer on Wednesday.
The company, led by the oft-discussed Elon Musk, appears unable to reverse this trend. It was previously revealed that Tesla sold significantly fewer vehicles.
From April to June, Tesla recorded a turnover of about $16 billion (about €14 billion), 16% less than the same period last year. Its profit amounted to just over $1.1 billion, also reflecting a 16% drop from the second quarter of 2024.
Earlier this month, Tesla announced its sales figures, indicating that it sold 384,000 cars in the second quarter, 13% fewer than in the corresponding period of the previous year.
Tesla has lost market share in Europe in recent months. In the first quarter of this year, global sales fell to their lowest level since the second quarter of 2022.
The company is also suffering from controversies surrounding CEO Musk. He funded Donald Trump’s election campaign with hundreds of millions of dollars and, as a White House advisor, made significant cuts to government spending. However, Trump and Musk recently engaged in a public dispute.
Additionally, Tesla faces increasing competition from car brands introducing cheaper electric vehicles.
