According to the results of the first quarter of 2025, the company's net profit amounted to $ 409 million, which is a result of 71 percent less than in the same period in 2024.
The decline is explained both by economic reasons and by the change in the image of Tesla CEO Elon Musk, who lost the sympathy of customers due to his active support for the current US President Donald Trump.
In light of Tesla's problems, Musk said that he would devote more time to his electric car company from next month. For her sake, he will reduce the hours he spends at DOGE, the government efficiency department, where he got a job thanks to his relationship with Trump.
Some analysts say relations between the president and the Tesla boss have cooled, as the president has not responded to Musk's requests for relief from import tariffs.
Musk's distance from Tesla's management and his focus on politics are among the main concerns of investors. After the billionaire promised to revise the schedule, the shares rose, but only by 5.5 percent. However, that is a small amount, to say the least, considering that they have fallen by almost half since December last year.
Musk said that Tesla is not immune to macroeconomic uncertainty, which is causing people to "hold back on making big purchases like cars". Therefore, the company plans to improve its performance with the help of new low-cost models.
There is speculation that "trimmed" versions of the Model 3 and Model Y will appear on the market, but the production of the latter has already been postponed for unknown reasons. However, work is on schedule for the robotaxi project, which is scheduled to launch in Austin, Texas, in June.