Tesla released its Q2 2025 earnings just now on July 23, showcasing steady financials alongside notable strides in autonomous technology and vehicle expansion. The company achieved a non-GAAP EPS of $0.40, surpassing the expected $0.39, with revenue at $22.5 billion and GAAP net income of $1.17 billion. This performance underscores Tesla’s push into AI-driven features and energy solutions, appealing to EV enthusiasts tracking innovation in sustainable transport.

Full Self-Driving Technology Advancements

Tesla drivers accumulated over 4.5 billion miles on Full Self-Driving (FSD) Supervised by the end of June 2025, marking a sharp increase from 2.9 billion miles at December’s close. This growth reflects rapid software enhancements, with Tesla noting record test drives in North America rising 20% sequentially.

“Given the recent refreshes in our product portfolio and rapid improvement in FSD (Supervised), it is paramount we maximize the number of prospective customers experiencing our vehicles,” Tesla stated.

Tesla prepares for a broader FSD Supervised rollout in China this year, subject to regulatory nods. Such expansions could enhance safety and efficiency for users, as Tesla’s vision-based systems recently outperformed competitors in Chinese ADAS tests, passing 5 out of 6 scenarios. For EV owners, this raises questions about global access to advanced autonomy, potentially reducing driver fatigue on long hauls.

Tesla Q2 2025 Earnings Reveal Fsd Mileage Surge And Affordable Model Timeline

Vehicle Expansion and Production Plans

Tesla continues to broaden its lineup, completing initial builds of a more affordable model in June, with volume production targeted for the second half of 2025. The company also advances Semi and Cybercab development, both set for high-volume output in 2026. These moves address economic pressures, offering budget-friendly options amid shifting tariffs and demand.

In parallel, Tesla bolsters manufacturing with lithium refining and cathode plants on schedule for 2025 start-up, onshoring key battery materials to the U.S. Plans include domestic production of first LFP cells for energy storage later this year. For EV enthusiasts, this signals improved supply chain resilience, possibly stabilizing prices and availability of models like the Model Y.

Energy Sector Growth and Margins

Tesla’s energy division hit a record gross profit of $846 million in Q2, driven by deployments like Megapack and Powerwall. Gross margins reached 30.3%, highlighting efficient scaling. Energy storage deployments grew sequentially and year-over-year, achieving a quarterly high.

Services and other segments saw gross profit climb 64% sequentially, partly from Supercharging network expansion adding over 2,900 stalls, up 18% year-over-year. This infrastructure benefits EV owners by enhancing charging reliability, though global fleet growth continues alongside vehicle sales support.

Robotaxi and AI Infrastructure Developments

Tesla launched its Robotaxi service in Austin during June, with a safety rider, and plans further improvements for wider coverage, eventually riderless.

“Our efforts to refine the Robotaxi offering in Austin are not location-specific and will allow us to scale to other cities quickly with marginal investment,” Tesla emphasized.

A milestone included the world’s first autonomous Model Y delivery, covering about 30 minutes including highways.

Supporting autonomy, Tesla added 16,000 H200 GPUs at Gigafactory Texas, elevating Cortex cluster to 67,000 H100 equivalents. AI training capacity ramps through September. Discussions with Nevada officials last week signal potential Robotaxi program there. These steps could transform urban mobility, but regulatory hurdles remain key for widespread adoption.

Tesla’s cash stood at $36.8 billion, down $200 million, with $100 million free cash flow. Overall, the quarter balances financial stability with tech-forward initiatives, positioning Tesla for EV market evolution.

Hat tip to Sawyer Merritt for aggregating these updates.