The fallout from Elon Musk’s plunge into politics a year ago is still hammering his Tesla business as both sales and profits dropped sharply again in the latest quarter.

Tesla has offered low-interest loans and other incentives to try to revive sales, but these efforts have depressed the company’s profits. Tesla’s newest model, the Cybertruck pickup, has been a flop. The company sold 4,300 Cybertrucks in the second quarter, according to Cox Automotive, a 50 percent decline from a year earlier.

The tech company reports its third quarter of declining profits in a row, amid the ongoing backlash against Elon Musk's foray into politics.

The fallout from Elon Musk's plunge into politics a year ago is still hammering his Tesla business as both sales and profits dropped sharply again in the latest quarter.

Tesla's profit slid 16% in the second quarter, it said Wednesday. CEO Elon Musk will face investors in the company's earnings call at 4:30 p.m. CT.

Tesla revenue dropped 12%, and profits slumped 16% in the three months through June as buyers continued to steer clear, and in some cases, turn to more affordable competitors' offerings. "The perception of Elon Musk,

Tesla's profits fell 16% over a three-month period ending in June that overlapped with the end of chief executive Elon Musk's tenure in the White House and his ensuing public clash with President Donald Trump, an earnings release on Wednesday showed.

The EV manufacturer faces slowing sales, political backlash and mounting competition as Elon Musk refocuses on the company's future

Tesla on Wednesday reported a drop in its profit during the second quarter, as the electric vehicle maker's woes continue despite CEO Elon Musk's pivot back to focusing on his companies after his controversial role leading the Trump administration's government cost cutting efforts.

Tesla's profits plunged 16% over a three-month stretch ending in June. Analysts discuss CEO Elon Musk's role in this dip.

Elon Musk’s political controversies are widely believed to have damaged Tesla’s image. This, together with stronger and stronger competition, has resulted in the decline we’re witnessing in 2025. Furthermore, the groundbreaking Cybertruck was expected to take over the electric pickup segment, but that hasn’t happened.