Tesla delivered a record 497,099 vehicles in the third quarter of 2025, marking a 7.4% increase from the previous year, even as other electric vehicle makers face challenges. The company benefits from strong brand loyalty despite CEO Elon Musk's controversies. Upcoming earnings on October 22 could show earnings per share of $0.54, down from $0.72 a year ago.
Tesla is preparing to report its third-quarter 2025 results on October 22, following a strong performance that contrasts with struggles among other EV manufacturers. The company delivered 497,099 cars worldwide in Q3, including 481,166 Model 3 and Model Y units and 15,933 other models, setting a new record and rising 7.4% from the year-ago quarter after three quarters of declines.
Tesla's stock closed at $439.31 per share last week, up more than 6% for the year and 95% over the past 12 months. Analysts now project Q3 earnings per share at $0.54, a decrease from $0.72 in 2024. To broaden its appeal, Tesla introduced standard versions of the Model 3 sedan and Model Y SUV, priced $5,000 to $5,500 lower than previous models, targeting less affluent buyers.
In the US, Tesla held a 43.1% share of EV sales at the end of September, down from 49% a year earlier and significantly from 80% four years ago, as competition intensifies. Overall US EV sales reached 438,500 units in Q3, representing 11% of new car sales—the highest quarterly figure yet—boosted by federal incentives that expired on September 30. Nearly half of US EV purchases in the first half of 2025 occurred without these incentives.
Brand loyalty remains a key strength. One owner noted, “Yes, I would buy another Tesla, even with the embarrassing behavior of CEO Elon Musk,” reflecting sentiment among existing customers. Tesla's energy business also grew, deploying 12.5 GWh of storage in Q3, up from 6.9 GWh a year earlier, with products like Megapack and Powerwall gaining popularity.
However, challenges loom. The expiration of federal tax credits may impact Q4 sales, potentially leading to Tesla's first full-year revenue decline in 2025. Abroad, demand in Europe lags, with rising competition from legacy automakers and Chinese players. Separately, the Delaware Supreme Court is reviewing Musk's 2018 compensation package, valued at a record sum tied to company growth goals met in 2022, amid accusations of board conflicts and excessive rewards.