Tesla started "initial production" of a long-awaited cheaper model widely seen as the cure to its sagging sales, the company said in its second-quarter earnings release on Wednesday. Tesla completed the "first builds" of that model in June, and said it expects to kick off mass production of the new car in the back half of 2025.

Analysts estimate that the company earned $1.2 billion from April to June, according to Bloomberg, down from $1.4 billion a year ago. Sales are expected to have fallen to $22.6 billion from $25.5 billion in the second quarter of 2024. Tesla has not reported an increase in quarterly profit since the third quarter of 2024.

The fallout from Elon Musk's dive into politics a year ago is still hammering Tesla sales, as profits drop sharply in latest quarter.

Tesla's profit slid 16% in the second quarter, it said Wednesday. CEO Elon Musk will face investors in the company's earnings call at 4:30 p.m. CT.

Tesla’s financial position is getting worse, as the fallout continues from CEO Elon Musk’s politics. The electric automaker reported Wednesday that both revenue and profits fell in the second quarter of the year compared to a year earlier.

Tesla started making the "first builds" of its affordable model in June, the electric vehicle maker said on Wednesday, adding that it expects volume production in the second half of this year.

Live Updates Live Coverage Updates appear automatically as they are published. Tesla's Segment Revenue Heading Into Q2 1:17 pm Tesla’s growth narrative hinges on more than just car sales. This table shows how each business line contributes to revenue and margin — giving investors a clearer view of the company’s diversification and profitability mix.

Artificial intelligence created the magnificent seven but is now splitting them apart as investors ask how big tech will turn big promises into returns.

Tesla said on Wednesday it has built initial versions of an affordable car, a move likely meant to stem the steep decline in sales the company has experienced in markets across the world.

After soaring in 2023 and 2024, shares of Tesla (NASDAQ:TSLA) were battered throughout Q1 2025. And while the stock performed marginally better in Q2, the largest U.S. EV-maker slid into Q3. However,

NEW YORK (AP) — The fallout from Elon Musk’s plunge into politics a year ago is still hammering his Tesla business as both sales and profits dropped sharply again in the latest quarter.

In the week ahead, 112 S&P 500 companies are set to report quarterly results, with earnings season in full focus as the market hovers near record highs.