A Tesla electric car is parked at a Tesla service center on August 2, 2025 in San Diego, California.
Kevin Carter | Getty Images
There are generally two ways for companies to increase profits: increase sales or reduce costs. If possible, you can do both at the same time. That’s because increased revenue can be overshadowed by sharp increases in spending.
that’s what happened tesla In the third quarter. Elon Musk’s electric car company’s sales rose 12% from a year earlier, the first increase in three quarters. Despite this, net income was down 37% year over year.
Who is the culprit? Tesla said its operating expenses rose 50%, likely due to lower vehicle prices to compete with Chinese manufacturers that are taking market share, as well as the impact of artificial intelligence and “other research and development projects.”
Investors didn’t seem too happy with Tesla’s After the Report, with the company’s stock down 3.8% in extended trading. The company’s financial results report was disappointing as follows. Netflix and texas instrument This caused the company’s stock price to fall by 10% and 5.6%, respectively, in regular U.S. trading on Wednesday.
These developments dragged down the overall market. The three major US indexes fell, but managed to recover their losses by the end of trading. nevertheless, S&P500 and Nasdaq Composite We are currently expecting a decline in October.
There are six trading days left until the end of October. But the past six days have been chock-full of earnings reports from big tech companies, including: alphabet, apple, meta and microsoftit is very likely to change the fate of the stock.
What you need to know today
And finally…
The biggest crypto wipeout was not caused by Bitcoin, but by a much smaller token. what happened
The crypto industry has recently had some of its worst days in history. In the 24 hours starting on Friday, October 10th, more than 1.6 million traders were affected by leveraged position eliminations totaling $19.37 billion.
More than a week has passed since the event, and its ripples are being felt primarily in smaller coins. Bitcoin is trading about 11% below its October 10 high. However, lesser-known coins such as XRP, Solana, Dogecoin, and BNB are trading between 15% and 24% of their pre-liquidation prices.
— Liz Napolitano
