Elon Musk confirms that he is preparing to leave the Trump administration after the Tesla profit has collapsed
Elon Musk. Photo source: Brendan SMIALOWSKI / AFP / Profimedia
Elon Musk intends to “significantly” reduce his activity in the Trump administration next month to focus on Tesla, the US billionaire announced, AFP and DPA agencies, quoted by Agerpres, reported.
Tesla reported a 71% decline in quarterly profit, and analysts warn about the damages that the car is facing after Musk was appointed by Donald Trump to the Department for Government Efficiency (Doge).
Elon Musk has informed that he will dedicate more time to Tesla, from May, after decreasing income. Company sales in Europe and China have decreased, while Tesla's cars and dealers have faced a wave of attacks in the United States.
Tesla, headquartered in Austin, Texas, announced a profit of 71% on Tuesday in this year's first quarter, at $ 409 million, or $ 0.12 per share, well below analysts and last year's level, $ 1.39 billion, or $ 0.41 per action.
Tesla income dropped by almost 10% in 2025
In the first three months of this year, Tesla revenues decreased by 9.2%, to $ 19.33 billion, also under the forecasts of Wall Street analysts, from $ 21.30 billion last year.
At the New York Stock Exchange, Tesla shares dropped this year by over 40%, but after Musk's announcement they climbed by almost 5% after the closing of the scholarship session on Tuesday.
The company has announced that it is expected to launch a cheaper version of the best-selling vehicle, model Y, in the first semester of this year. Tesla also intends to start a service paid by Robotaxi without a driver in Austin, Texas, and then in other cities.
Last year, Musk predicted a 20% – 30% sales advance in 2025, and promised that he would launch an electric vehicle accessible in the first semester, but no details about this model have still appeared.
Meanwhile, investors are waiting to see if modernized vehicles, such as model Y, and subsidies will help increase sales, against the background of intense competition, including byD, Volkswagen and BMW.
