Tesla (NASDAQ:TSLA) has released its Q2 2025 earnings results in an update letter. The document was posted on the electric vehicle maker’s official Investor Relations website after markets closed today, July 23, 2025. 

Tesla’s Q2 earnings come on the heels of a quarter where the company produced over 410,000 vehicles, delivered over 384,000 vehicles, and deployed 9.6 GWh of energy storage products. The second quarter also saw the launch of the Roboaxi service’s pilot program in Austin, a notable step forward for the company’s self-driving program.

Tesla’s Q2 2025 earnings in a nutshell

As could be seen in Tesla’s Q2 2025 update letter, the company posted GAAP EPS of $0.33 and non-GAAP EPS of $0.40 per share. Tesla also posted total revenues of $22.496 billion.

In comparison, Wall Street expected Tesla to post earnings per share of $0.39, down 25% from a year ago. Tesla’s revenue is forecasted to fall 13% to $22.19 billion, and analysts also expect the electric vehicle maker to post lower margins this quarter.

Tesla’s other Q2 metrics

For the second quarter, Tesla’s total revenue decreased 12% YoY to $22.5B. Operating income also decreased 42% YoY to $0.9B, resulting in a 4.1% operating margin. Tesla still has a strong war chest, as the company’s quarter-end cash, cash equivalents and investments was $36.8B.

Product Plans

Tesla noted in its Q2 2025 update letter that the company remains focused on “prudently growing our vehicle volumes in a capex efficient manner by using our existing vehicle production capacity before building new lines.” Still, Tesla noted that plans for new vehicles that will launch in 2025 remain on track, including initial production of a more affordable model in 1H25.

Tesla also reiterated that the Cybercab will be produced using the company’s upcoming “Unboxed” manufacturing process. Volume production of the Cybercab is expected to start sometime in 2026.

Below is Tesla’s Q2 2025 update letter:

TSLA-Q2-2025-Update by Simon Alvarez on Scribd

Elon Musk revealed on X on Wednesday that Tesla Optimus will soon be getting a job at the Supercharger Diner in Los Angeles, and its role will be right on par with what we believed the humanoid bot would be perfect for.

While Optimus was spotted serving popcorn at the Diner on Monday as it opened for the first time, that’s its only job, at least for now. Musk said Optimus will be getting a promotion in 2026, and it will be a food runner, bringing your order straight to your car, eliminating the need to go inside yourself.

It will complete what Tesla hopes is a full-fledged 50s diner experience, curated by the imagination of the future. In the 1950s, drive-in diners were a common hangout to grab a bite and watch a movie. Tesla opened its Supercharger Diner in Los Angeles earlier this week, but it has a futuristic twist to it.

You can order food directly from your car, sync your center touchscreen and speakers to the two massive projection screens that Tesla is playing movie scenes on at the Diner, and even go inside for a true break from your car.

Next year, Tesla will take it a step further, Musk confirmed:

Optimus will bring the food to your car next year pic.twitter.com/opPGjOe7t1

— Elon Musk (@elonmusk) July 23, 2025

The Diner features 80 Superchargers that can be used by both Tesla and non-Tesla EVs, provided that the manufacturer of the electric car has access to the company’s robust network. It is also available to non-EV owners, as they can park their cars and stop in for a quick bite to eat.

Tesla’s full menu at the Diner is available here, and its focus for the restaurant was to provide healthier options by sourcing most of its food from local, organic, and humane farms:

We put a lot of effort into using truly organic ingredients from farms that we have visited

— Elon Musk (@elonmusk) July 22, 2025

Optimus’s capabilities seem to be progressing to a point where Tesla feels confident that the humanoid robot can handle carrying food and delivering it to customers at their cars. Whether it will be put on roller skates is another question, but we’re hopeful Optimus can do it when it gets its promotion next year.

Tesla (NASDAQ:TSLA) is set to release its second-quarter 2025 financial results after markets close on Wednesday, July 23. The company has faced mounting pressure this year, with TSLA stock down about 19% year-to-date. 

What Wall Street expects

As noted in a TipRanks report, Wall Street has remained cautious about the electric vehicle maker due to concerns about the EV segment in general, competition, reduced margins, federal EV regulations, and CEO Elon Musk’s political activities. 

Overall, Wall Street expects Tesla to post earnings per share of $0.39, down 25% from a year ago. Tesla’s revenue is forecasted to fall 13% to $22.19 billion, and analysts also expect the electric vehicle maker to post lower margins this quarter.

Analyst expectations

Tesla delivered approximately 384,120 vehicles in Q2, a 13.5% drop year-over-year, as per Main Street Data. The company also produced over 410,000 vehicles and deployed 9.6 GWh of energy storage products during the quarter. 

Ahead of the earnings call, Cantor Fitzgerald analyst Andres Sheppard reiterated a Buy rating and a $335 per share price target. He also adjusted his Q2 revenue forecast to $21 billion, down from his previous estimate of $24.1 billion. Despite short-term softness, Sheppard maintained his 2025 and 2026 projections, citing confidence in Tesla’s high-margin Robotaxi business model.

Barclays analyst Dan Levy kept a Hold rating with a $275 price target. He stated that the company faces “increasingly weaker fundamentals,” but he also suggested that Tesla’s Robotaxi story could drive optimism. Levy expects modest gross margin improvement quarter-over-quarter and flagged the full-year EPS estimate drop from $3.20 to $1.84. Delays in launching the affordable Tesla model remain a downside risk, Levy noted.