Tesla reported a 17% rise in first-quarter profit, earning $477 million (€407.7m), as car sales rebounded from a sharp decline in 2025. Earnings per share stood at 13 cents, or 41 cents on an adjusted basis, beating Wall Street estimates of 36 cents.
Revenue increased to $22.39 billion (€19.14bn), driven by a 16% rise in automotive revenue, but came in below analyst expectations.
Despite the improvement, profit and revenue remain below previous peaks as competition from European and Chinese automakers intensifies. Tesla has also lost its position as the world’s largest EV maker to BYD.
Robotaxi miles doubled in the first quarter, with services operating in San Francisco and three cities in Texas, including Austin.
Tesla is also expanding its AI and robotics efforts, including its Optimus humanoid robot project, which could have a planned production capacity of up to 10 million units per year.
Capital expenditure reached $2.5 billion in the quarter, up 67% year-on-year, with expected spending of more than $25 billion this year focused on robotaxis, robotics, and AI infrastructure.
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