Tesla’s battery business has been feeling the pain, too. For a while, this was a growth area for the company, albeit one with a relatively minor contribution to the bottom line. During Q2 2025, Tesla’s energy generation and storage division brought in $2.8 billion in revenue, a 7 percent decline from the same period in 2024.

Tesla saw registrations in its largest U.S. market tumble by over 20%, marking a seventh straight quarterly drop in the Golden State. The company’s retro‑themed diner in California may be drawing record crowds,

Tesla's registrations in the West Coast state fell more than 20% in the second quarter compared with the previous year, according to new data.