Tesla CEO Elon Musk walks to board Air Drive One with U.S. President Donald Trump (not pictured) as they depart for Philadelphia, Pennsylvania, from Morristown Municipal Airport in Morristown, New Jersey, U.S., March 22, 2025.
Nathan Howard | Reuters
Shares of Tesla fell as a lot as 3% in in a single day buying and selling on buying and selling platform Robinhood, following experiences that its board has opened a seek for a chief government to succeed Elon Musk.
Tesla’s board members reached out to a number of government search corporations to work on a proper course of for locating Tesla’s subsequent CEO, the Wall Road Journal reported, citing comments from sources familiar with the discussions.
The transfer follows a pointy drop within the electrical car large’s gross sales and income, with its high and backside strains missing estimates in the first quarter. Tesla’s repute has been negatively impacted by Musk, who spent appreciable time within the White Home with U.S. President Donald Trump to downsize the federal authorities.
The mega-billionaire stated on a Tesla earnings call final week that he plans to spend only a “day or two per week” working the so-called Department of Government Efficiency starting in Might.
Shares of Tesla
Tesla’s whole income slipped 9% year-on-year to hit $19.34 billion within the January-March quarter. This falls wanting the $21.11 billion forecast by analysts, LSEG knowledge exhibits.
Income from its automotive phase declined 20% year-on-year to $14 billion, as the corporate wanted to replace strains at its 4 car factories to begin making a refreshed model of its standard Mannequin Y SUV. Tesla additionally attributed the decline to decrease common promoting costs and gross sales incentives as a drag on income and revenue.
Its internet revenue plunged 71% to $409 million, or 12 cents a share, from $1.39 billion or 41 cents a yr in the past.
Because the begin of the yr, its shares have plunged 30.13%.
— CNBC’s Dan Mangan and Laura Kolodny contributed to this report.
