Tesla's 2025 revenue falls for first time; profits decline

Tesla published its 2025 financial results this afternoon, and for the first time in the company’s history annual revenues fell year over year.

Earlier this month the company reported a 16 percent decline in sales and production for Q4 2025 versus Q4 2024. For the quarter, automotive revenues fell 11 percent to $17.7 billion, while energy storage rose 25 percent to $3.8 billion and services rose 18 percent to $3.4 billion. Total revenue for the quarter fell 3 percent.

Operating profits for the quarter grew 20 percent, but declining income from operations, which also got much more expensive, saw Tesla’s net profit plummet 61 percent to $840 million. The company received $542 million from regulatory credits.

For the full year, Tesla sold 1,636,129 cars in 2025, generating $69.5 billion in automotive revenue, 10 percent less than Tesla’s 2024 revenue. Storage and energy revenue increased 27 percent year over year to $12.7 billion, and services grew 19 percent year over year to $12.5 billion; together those divisions now contribute meaningful amounts to the business.

The results show revenue and profit declines alongside growth in storage, energy and services. The report does not specify Tesla’s outlook or next steps.

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