---
title: "Tesla's third-quarter EPS fell short of expectations, and Trump's repeal of the \"Biden car purchase subsidy\" hurt gross margins"
description: "Tesla's revenue for the third quarter was $28.1 billion, exceeding analysts' expectations of $26.33 billion, but the adjusted earnings per share (EPS) was $0.50, lower than the expected $0.54. Energy "
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/262298830.md"
published_at: "2025-10-22T20:26:01.000Z"
---

# Tesla's third-quarter EPS fell short of expectations, and Trump's repeal of the "Biden car purchase subsidy" hurt gross margins

> Tesla's revenue for the third quarter was $28.1 billion, exceeding analysts' expectations of $26.33 billion, but the adjusted earnings per share (EPS) was $0.50, lower than the expected $0.54. Energy production and storage sales grew by 44%, with free cash flow at $3.99 billion, far exceeding the expected $1.25 billion. Operating profit was $1.62 billion, slightly below the expected $1.65 billion, with a gross profit margin of 18%. The automotive gross margin was 15.4%, down from 17.1% in the same period last year

Tesla's third-quarter revenue was $28.1 billion, while analysts expected $26.33 billion.

The adjusted EPS for the third quarter was $0.50, with analysts expecting $0.54.

Energy production and storage sales grew by 44% in the third quarter.

The free cash flow (FCF) for the third quarter was $3.99 billion, while analysts expected $1.25 billion.

The operating profit for the third quarter was $1.62 billion, with analysts expecting $1.65 billion.

The gross profit margin for the third quarter was 18%, while analysts expected 17.2%.

The gross margin for vehicles (excluding purchase tax credits) was 15.4%, compared to 17.1% in the same period last year.

Cybercab, Tesla Semi, and Megapack 3 are on track

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---

> **Disclaimer**: This article is for reference only and does not constitute any investment advice.