Tesla has suffered its first ever drop in annual revenue as the company rounded off a nightmare year.
In its earnings update released on Wednesday, Elon Musk’s company reported that its full-year revenue for 2025 was $94.8 billion, down from the $97.7 billion recorded the year before.
This was despite better-than-expected fourth quarter revenue of $24.9bn.
At the same time, Tesla’s net income for last year dropped by 46 per cent to $3.8bn (£3bn), the second consecutive year of steep decline.
READ NEXT: Awkward moment Musk’s Greenland joke met with silence at Davos
The stats are even more stark when looking at the fourth quarter of last year, when Tesla’s net income plummeted by 61 per cent to $840m, Forbes reports.
The figures mark an awful year for Tesla, during which it lost its crown as the world’s biggest maker of electric vehicles.
Throughout 2025, Tesla’s sales figures slumped, prompted largely by CEO Musk becoming Donald Trump’s ‘first buddy.’
Musk’s actions – from dodgy salutes, to setting up the disastrous DOGE, to giving his unwavering support to undeniable racists such as Tommy Robinson – have sparked widespread boycotts of Tesla in both the US and Europe.
The earnings are made all the more stark by the fact that at the start of last year, Tesla’s share price had reached a record high.
All of this didn’t stop Tesla shareholders sign off on a $1 trillion pay packet for Musk, on the proviso that he meets stringent targets for the company.