Tesla’s record sales quarter barely boosted profit

Tesla delivered a grounds fig of vehicles successful the 3rd 4th of 2025, acknowledgment successful ample portion to a unreserved of customers successful the United States who took vantage of the expiring national EV taxation credit. But that grounds 4th did not pb to greater earnings. In fact, Tesla’s third-quarter nett was inactive 37% little than it was successful the aforesaid 4th past year.

Tesla shipped 497,099 cars successful the 3rd quarter, which generated $21.2 cardinal successful gross — the company’s champion gross fig successful much than a year. But Tesla lone pulled successful a nett of $1.4 billion, up conscionable $200 cardinal from the 2nd 4th of this year, according to a shareholder missive released Wednesday.

The institution explained successful the missive that a large summation successful operating expenses — 50% higher compared to the 3rd 4th past twelvemonth — was 1 of the culprits. That OpEx bump was acknowledgment to spending connected AI and different R&D projects, arsenic good arsenic “restructuring” charges of astir $240 million. Tesla didn’t explicate what those restructuring charges were for, but it’s perchance related to the caller determination to shut down the company’s six-year Dojo supercomputer project.

This volition enactment adjacent much unit connected the company’s last 4th of the year.

Tesla already needs different grounds 4th (and past some) if it wants to simply lucifer the fig of cars it shipped successful 2024 oregon 2023. The institution could get immoderate assistance from the caller slightly-cheaper stripped-down versions of the Model 3 and Model Y EVs. But adjacent successful that best-case scenario, Tesla is mode disconnected the way of 50% year-over-year maturation that it erstwhile promised to investors and shareholders.

All of this is happening amid the backdrop of Tesla’s proposal to manus $1 trillion worthy of shares to CEO Elon Musk. That program is up for a ballot astatine the company’s yearly shareholder gathering successful a fewer weeks. The institution — and Musk — are campaigning hard. While advisor groups similar ISS and Glass Lewis are recommending against the wage package, it’s astir apt going to walk fixed the overwhelming enactment from shareholders connected erstwhile efforts.

That hasn’t stopped Musk from threatening to locomotion distant from Tesla if the bundle isn’t approved.