Tesla Plunges in After-Hours Trading on Weaker-Than-Expected Quarterly Profit

[Financial News]

Tesla shares were falling sharply in after-hours trading on the 22nd local time.
The stock dropped 2.7% from the regular-session close to $363.82.
The decline came after the company released quarterly results that missed market expectations.
Tesla said it posted revenue of $28.24 billion and adjusted earnings per share of $0.33 in the second quarter.
Wall Street analysts had expected revenue of $25.71 billion and adjusted EPS of $0.51, according to CNBC, citing an LSEG survey.
The disappointing results added to Tesla's woes, with the stock already down 17% this year and 11% this month alone.
Revenue jumped 26% from $22.5 billion a year earlier, but net income fell 5% from $1.17 billion, or $0.33 per share, to $1.11 billion, or $0.32 per share.
Tesla posted revenue growth across all segments.
Revenue from its core electric vehicle business rose 23% from a year earlier to $20.52 billion, while revenue from its energy segment, which includes solar and battery storage systems, increased 13% to $3.14 billion.
Revenue from other businesses, including services, surged 50% to $4.58 billion.
Despite the revenue growth, profits fell because costs rose quickly. Higher spending on Artificial Intelligence (AI) investment and research and development (R&D) also weighed on earnings.
Operating expenses jumped 47% year on year to $4.35 billion in the second quarter.
Earlier, Tesla closed regular trading at $374.01, down $4.92, or 1.30%.

[email protected] Song Kyung-jae Reporter