Tesla Q2 2025 Update [pdf]

[GodelNumbering]

A lot of bad news

- Total revenue fell by 12% year-over-year (16% contraction in the core automotive segment)

- Operating margin fell to just 4.1% (was 6.3% a year ago)

- For a second straight quarter, production significantly outpaced deliveries. Global unsold inventories now at 24 days of supply (was 18 days a year ago)

- Free cash flow collapsed by nearly 89.1% to just $146 million

source: https://www.signalbloom.ai/news/TSLA/teslas-q2-revenue-drops... (disclaimer: I run this)

[bryanlarsen]

Despite all the bad news and missteps, Tesla is still profitable with tons of money in the bank. Lots of room to turn things around. The company is not going away any time soon.

That trillion dollar market cap, OTOH? That seems super vulnerable.

[saaspirant]

No wonder they have opened a showroom in India

[rtkwe]

I'm surprised the product backlog is so thin and I'd love it if they had broken that out. Months back there were seemingly huge backlogs of Cybertrucks piling up all over the place for example and I wonder if they are still piling up.

[financetechbro]

@dang - why did my other comment asking about hallucinations get flagged? It was a genuine question

[financetechbro]

[flagged]

[mixdup]

The buried lede I hadn't seen in any headlines on the business news websites: 89% decrease in free cash flow. Ooof

[TheAlchemist]

And this is *before* the regulatory credits went away 3 weeks ago, and *before* 7500$ / car subsides go away end of September. In Q3 Tesla will start seriously bleeding money.

[2OEH8eoCRo0]

When does pumping that stock up go from fiduciary duty to fraud? Musk is bad for the company yet Musk as CEO props up the meme stock. Is it fraud to keep on Musk then?

[ceejayoz]

> When does pumping that stock up go from fiduciary duty to fraud?

Musk has already been in hot water more than once for that in the past.

https://www.cnn.com/2024/12/13/business/elon-musk-sec-fine-d...

"In 2018 the SEC reached a settlement with Musk and Tesla after finding that Musk had deceived investors when he tweeted out that he had “funding secured” to take Tesla private. Under that settlement Tesla and Musk both paid fines of $20 million, and Musk agreed to have his tweets about material events at the company approved by others at Tesla. He also gave up the title of chairman of Tesla, although he retained the CEO title."

"In April 2022, Musk disclosed he had purchased 9% of the shares of Twitter ahead of his purchase of the entire company later that year. The SEC sent him a letter wanting to know why he had not disclosed those purchases within 10 days of crossing the 5% threshold of shares owned, as required by securities law."

[cyberge99]

Did I miss the applied part of their primary goal “to procvide affordable vehicles”.

[akmarinov]

They have 5 models that they sell, but only 2 are available to order in Europe, lol

[7e]

And 0 models are desired by European buyers.

[e40]

Who would have thought that alienating yoyr target market could impact sales??

I hope the purchase of twitter and the subsequent leverage he has on politics and government is worth it. /s

[darth_avocado]

You’re not supposed to bite the hand that feeds you? surprised pikachu face

[cyberge99]

He literally alienated BOTH American political constituencies.

[DoesntMatter22]

Realistically the biggest thing that's impacting their ability to sell their cars is high interest rates.

The company still has 37 billion in cash on hand and has a great backlog of products.