Tesla recently released its financial report for the second quarter of the year, revealing a 45 percent decrease in profit compared to the same period last year. The company earned $1.5 billion in the April to June timeframe, generating $25.5 billion in revenue.
In contrast, during the second quarter of 2023, Tesla made $2.7 billion with revenue amounting to $24.9 billion. The current operating profit margin stands at 6.3 percent, down from 9.6 percent in the corresponding period a year ago.
The latest financial results are expected to increase the pressure on Tesla and its CEO, Elon Musk, to demonstrate the company’s ability to innovate and generate new revenue streams.
Tesla’s stock has surged by 40 percent since May, largely due to investor optimism regarding Musk’s vision of transforming Tesla into an artificial intelligence-focused company. The plan involves operating a driverless taxi service and selling robots for various applications.
Notably, Tesla’s profitability was boosted by the sale of regulatory credits to other automakers striving to meet emissions standards. The company sold $890 million worth of credits in the second quarter, a significant increase from $282 million in the same period last year.
