Tesla announced a sharp increase in revenue for the third quarter of 2025, driven by record global deliveries. However, its net profit plummeted, mainly due to rising costs and increased competition.
Between July and September, Tesla delivered 497,099 vehicles worldwide, a record level and an increase of 7.4% compared to the same period last year. Production reached 447,450 units, a slight decline compared to the previous year.
This strong delivery performance can be explained in particular by the imminent end of the US federal tax credit of $7,500 : many customers rushed to complete their purchases before the deadline, creating a windfall effect but also a risk of demand being brought forward.
Revenue rose 12% to $28.1 billion in the third quarter. However, net income plunged, falling 37% to around $1.4 billion. At the same time, the operating margin fell sharply to around 5.8% from 10.8% a year earlier.
Several factors eroding profitability
Several factors explain this erosion of margins at Tesla. First, the company suffered from higher tariffs and import costs, which amounted to more than $400 million in the quarter.
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Read also > Tesla underperforms in the first quarter of 2025
Featured photo : © Tesla
