Latest news with #vehicleDeliveries
Gizmodo
15 hours ago
- Automotive
- Gizmodo
Tesla's Numbers Are In, and They're Not Good
Tesla's struggles continue as the company reports another drop in vehicle deliveries, deepening concerns that its image problem, especially in Europe, is weighing heavily on consumer demand. In the second quarter of 2025, the electric vehicle giant delivered 443,956 vehicles, a 13.5 percent decline from the same period in 2024. Deliveries are Tesla's key sales metric and are closely watched by investors and analysts alike. Nearly all of those deliveries — 97.3 percent — were for the company's two most popular models: the Model 3 and Model Y. Wall Street had expected a dip of about 10 percent, so the final number was worse than anticipated. The drop underscores the lasting impact of Elon Musk's political turn. Once a darling of eco-conscious and tech-savvy progressives, Tesla has alienated parts of its original customer base. The shift became more pronounced after Musk accepted a high-profile role in the Trump administration, running the Department of Government Efficiency (DOGE), an agency tasked with cutting federal spending. Under Musk, DOGE became infamous for slashing budgets without concern for what those programs did. Musk's vocal support for far-right political parties in the United Kingdom and Germany has also alienated European buyers, many of whom had embraced Tesla as a climate-conscious status symbol. The backlash has been especially strong in Germany, a major market for the company. On top of the political fallout, Tesla faces increasingly aggressive competition from both Chinese automakers like BYD and domestic rivals including Ford, General Motors, and Rivian. Despite the decline in deliveries, Tesla actually produced more vehicles this quarter, building 410,244 units, which is virtually flat compared to the same quarter last year. This hints that underlying demand might not be collapsing, or that Tesla is betting demand will return soon. Wedbush analyst Dan Ives, a longtime Tesla bull, struck an optimistic note. The numbers were 'better than feared,' Ives said on X (formerly Twitter), citing a rebound in China and interest in the refreshed Model Y. 'Big step forward.' Tesla announced its 2Q delivery numbers this morning which came in at 384k vehicles well above Street whisper numbers of ~365k vehicles, which was better than feared as the company saw success with its Model Y refresh cycle in the quarter. China rebound. Big step forward 🔥🏆🐂 — Dan Ives (@DivesTech) July 2, 2025Part of the bullish case is the looming expiration of the federal $7,500 EV tax credit, a key provision in President Trump's 'One Big Beautiful Bill.' The Senate version of the bill ends the credit this September, ahead of the initial calendar. Analysts believe this could spark a rush of last-minute purchases from consumers hoping to claim the credit before it disappears. Still, Musk has been downplaying the role of vehicles in Tesla's long-term future. In recent public comments, he emphasized that Tesla is evolving into an artificial intelligence, robotics, and software company. He pointed to Full Self-Driving (FSD), Tesla's long-delayed autonomous driving software, and Optimus, the humanoid robot under development, as the company's next big revenue drivers. But so far, the results have been mixed. Tesla's much-hyped robotaxi service, launched in Austin last month, was limited to a handful of loyal superfans and required a human supervisor in the passenger seat. The next day, videos of the rides circulated on social media and quickly became fodder for ridicule and skepticism. Elon Musk's Trillion-Dollar Robotaxi Gamble Is Here For now, the future Musk envisions — a Tesla powered by AI and robots — remains just that: a vision. And the company's core business, selling cars, is still dealing with the fallout of a CEO who insists on mixing politics with product.
Yahoo
18 hours ago
- Automotive
- Yahoo
4 takeaways from Tesla's latest sales report
Wall Street doesn't appear spooked by Tesla's 13.5% year-over-year decline in vehicle deliveries. While the numbers were below analysts' average estimates, they came in above some of the lowest predictions. The decline means that Tesla would need to deliver over a million vehicles in the second half of 2025 to return to growth. Tesla just experienced its steepest drop in quarterly vehicle deliveries to date, but you wouldn't know it looking at its stock price. Wall Street appears to believe that the numbers could've been worse, and the stock was up 4.86% at market close on Wednesday. The electric automaker delivered about 384,000 EVs in the second quarter, marking a 13.5% decrease from the 444,000 vehicles it delivered in the same period of 2024. The new report comes after a challenging first quarter for Tesla's vehicle deliveries, which the company attributed to an assembly line overhaul for the refreshed Model Y and anti-Tesla sentiment in certain markets. The two rough quarters also follow Tesla's first annual delivery decline in 2024. The automaker is facing multiple challenges, including a slowing EV environment, rising competition, the looming removal of consumer EV tax credits, and potential brand damage tied to Elon Musk's political stint. Despite the latest setback, Wall Street doesn't appear spooked by the numbers. Analysts explained why. Tesla's delivery report fell in line with analysts' average estimates, and the numbers were better than the most pessimistic of Wall Street forecasts. "We consider the release a modest disappointment, although vehicle sales weren't as weak as many had feared," CFRA analyst Garrett Nelson wrote in an analyst note on Wednesday. On average, analysts expected 389,400 vehicles delivered in the second quarter, according to data compiled by Bloomberg. However, some forecasts, like RBC Capital Markets, were as low as 366,000, and Tesla landed about 5% above that, with 384,000 deliveries. Thomas Monteiro, senior analyst at told BI that given the automaker's aging lineup, increasing competition, and political competition, Tesla showed its ability to stay relevant, which in and of itself could be viewed as a win for the automaker. Tesla bull Dan Ives told BI that "Rome wasn't built in a day," and he expects the automaker to take six to nine months to come back from its recent challenges, like the Model Y assembly line changeover. Monteiro said that if this is "the bottom for Tesla," the struggles of late 2024 and early 2025 could turn out to be a "temporary setback in the company's broader trajectory." After back-to-back quarters of declining sales, Tesla is looking to return to growth. The trouble is, the bigger the deliveries miss, the steeper the hill it has to climb to get there. In the first half of the year, Tesla delivered a total of roughly 720,700 EVs. To exceed its 2024 deliveries of 1,789,226 vehicles, Tesla would need to deliver well over a million EVs across the next two quarters. It's possible, but an ambitious feat for the EV maker. In the third quarter last year, Tesla delivered 462,890 vehicles, and in the fourth quarter, it hit about 495,000. A more affordable model could spur sales, but Tesla hasn't given an updated timeline for its cheaper EV, which it had previously said was on track to begin production in the first half of the year. Tesla stock popped immediately following the results and ended the day up over 4.8%. In addition to staying above the lowest of Wall Street's estimates, another factor could also be China's Passenger Car Association releasing data indicating Tesla saw its first increase in 2025 vehicle deliveries from its Shanghai factory, a key production plant for global exports. In June, Tesla delivered 71,599 units from the factory, marking a 0.8% year-over-year increase and a 16% monthly increase, according to the data. That could indicate a bright spot for Tesla's China growth prospects, a market where the automaker is facing increasing competition and just lost its top manufacturing executive. Not all analysts had an optimistic take on Tesla's numbers. Gadjo Sevilla, a senior tech and AI analyst for EMARKETER, a sister company to BI, said that Tesla's headwinds contributed to the sales decline and the automaker may be "stretching itself thin" with the robotaxi rollout and Optimus humanoid robot development. Those projects "divert time, talent, and resources from EVs," Sevilla said. Musk has said that solving autonomy and developing related technology that utilizes the technology, such as Optimus, are key to Tesla's future growth. "Increased EV competition, especially in growth markets like China, and the continued slowdown in global EV adoption will continue to compound Tesla's losses," Sevilla said. While Musk has returned his focus to Tesla, his favorability has taken a hit from many on both the political right and the left, according to recent polls. Shortly after leaving his position in DOGE, the billionaire sparked an ongoing public feud with President Donald Trump regarding his Big Beautiful Bill. As the two take turns exchanging insults on social media, Tesla has seen sharp swings in its share price. Read the original article on Business Insider
Fast Company
a day ago
- Automotive
- Fast Company
Tesla deliveries fall 13%, biggest quarterly decline in company history, as Musk and Trump continue public feud
From Elon Musk's controversial Washington crusade to the Cybertruck's flop, it's been a bad year for Tesla. Now, the EV company is reporting a 13% decline in vehicle deliveries for its second quarter, marking the second quarterly decline in a row. On Wednesday, Tesla reported 384,122 total vehicle deliveries, down from 443,956 in the same period last year. The drop of almost 60,000 vehicles is Tesla's biggest quarterly decline in the company's history, and is on par with low expectations from various analysts. The drop follow last quarter's decline, with Tesla reporting 336,681 deliveries for this year's first quarter, down from 386,810 the previous year. Still, the Austin-based company's stock is up by 4.4% at the time of publishing, although it is on course for an annual drop amid ongoing challenges related to Musk's controversies, changing policies, and an increase in EV competition. BYD takes the lead Tesla's sales in European and Asian markets have plunged throughout the year, in part due to other EV manufacturers taking the lead as a demand for EV vehicles remains steady. Notably, Chinese EV leader BYD outpaced Tesla's $97.7 billion in annual revenue last year, rising to $107 billion. In April, the Chinese company also outsold Tesla in Europe for the first time, selling 7,231 battery-powered electric vehicles over Tesla's 7,165. Despite BYD's growing popularity, its stock price has been slowly declining, with its shares down 1.4% at the time of publishing. DOGE controversy Tesla has been facing backlash following Musk's 130-day stint as head of the Department of Government Efficiency (DOGE), which implemented massive layoffs and funding cuts for federal agencies. Public outrage targeted the EV maker, with protests organized outside of Tesla dealerships; videos of users trading in their Teslas going viral on social media; and overall mockery and pranks surrounding Tesla vehicles. Additionally, discontent from the CEO's political alignment led to sales declines in key U.S. markets like California. Despite a slight rise in Tesla's stock following Musk's departure from DOGE, public trust in the company and sales have not recovered. Changing policies and a presidential feud After Musk stepped down as head of DOGE, the former advisor and President Trump entered into a feud over the proposed 'Big Beautiful Bill.' The budget bill, which Musk called a 'disgusting abomination,' plans to cut EV tax credits, which would likely hurt Tesla's sales. Since then, tensions between Musk and the president have risen, with both sharing insults, allegations and exchanges via social media, while Tesla's stock plummeted. Early last month, the company's share price fell as much as 15% (it has since slowly recovered). Tesla, whose current market capitalization is upward of $1 trillion, is expected to release its second quarter financial results on July 23 after market close.
Yahoo
a day ago
- Automotive
- Yahoo
Global Tesla sales fall sharply in second quarter, continuing months of decline
Global deliveries of Tesla vehicles dropped sharply in the second quarter, prolonging the company's run of declining sales. Vehicle deliveries were down 13.5% in the last three months compared to last year — the steepest year-over-year drop in Tesla's history. Still, the numbers beat the pessimistic investor forecasts, and Tesla's shares opened 4% higher on Wednesday, recovering from an earlier dip amid CEO and former White House adviser Elon Musk's renewed feud with US President Donald Trump. Analysts attribute Tesla's decline partly to competition, particularly from China, and partly backlash toward Musk's political activities. His latest public spat with Trump — over the president's signature spending bill — could see Tesla incur more damage, The Guardian wrote: If the bill passes in its current form, it would eliminate tax credits for EV purchases. — Natasha Bracken Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
BBC News
a day ago
- Automotive
- BBC News
Tesla deliveries plummet 14% in second quarter
Elon Musk's Tesla has reported a 14% decline in vehicle deliveries in the second quarter of the year, as the electric car-maker's problems show no sign of just over 384,000 vehicles it delivered between April and June represents the second quarterly drop in a faces increasing competition from rivals, including China's BYD. Musk's controversial role as government efficiency czar in the Trump administration has also been blamed for the plummeting delivery has since left the administration - but has publicly sparred with US President Donald Trump over a massive spending bill pushed by the White House. In response, Trump floated cutting the subsidies received by Musk's firms or even deporting suggested that the ad-hoc Department of Government Efficiency - known as Doge - could be used to harm the billionaire's companies."Elon may get more subsidy than any human being in history, by far," Trump wrote on social media Tuesday. "Perhaps we should have DOGE take a good, hard, look at this? BIG MONEY TO BE SAVED!!!""I am literally saying CUT IT ALL. Now," Musk has suggested that Musk's opposition to the spending bill stems from a provision that removes incentives to buy electric vehicles."He's upset that he's losing his EV mandate, he's very upset, he could lose a lot more than that, I can tell you that," Trump told reporters on the quarterly deliveries metric is tracked closely investors, some analysts have shrugged off the figures."The good news: that ~14% should mark the bottom," wrote Deepwater Asset Management's Gene Munster on Musk's social media site X. "I have September down 10% and December flat."Munster said he expected uncertainty about the US EV tax credit to boost near-term sales as buyers scramble to purchase before it expires. Tesla's push into robotaxis which kicked off in Austin, Texas last month in uncertain fashion could prove critical, he said."Over the next two years, I think investors will be fine with flat deliveries as long as autonomy shows measurable progress," Munster added. Sign up for our Tech Decoded newsletter to follow the world's top tech stories and trends. Outside the UK? Sign up here.
