Tesla Inc said on Tuesday its second-quarter profit margins fell as price cuts and stimulus measures to combat sluggish demand continued to weigh on profits even as it stepped up efforts to push self-driving technology.
Elon Musk’s Tesla Inc.’s second-quarter gross profit margin for its auto division was 14.65% excluding regulatory deductions, beating expectations of 16.29%, according to 20 analysts surveyed by Visible Alpha.
Shares of the electric car maker fell about 4% after the close of trading.
The company said on Tuesday it had revenue of $25.5 billion for the three months to June, down from $24.93 billion a year earlier. Analysts on average expected $24.77 billion, according to LSEG data.
Second-quarter net income was $1.48 billion, down from $2.7 billion in the same period last year.
