Tesla Inc.’s profit plunged more than expected as sharply rising costs undercut a record quarter of vehicle sales.

Tesla's shares fell nearly 4% in early Frankfurt trading on Thursday, after the company's quarterly profit missed Wall Street expectations due to tariff and research costs, as well as a drop in income from regulatory credits.

Tesla's profit actually fell 37% compared to the same period last year, despite buyers rushing to take advantage of the expiring EV tax credit.

Tesla chief Elon Musk said in a call with investors on Wednesday that his team is “on the cusp of something really tremendous” with Optimus, the humanoid robot that it’s been working on since 2021.

Tesla said Wednesday that its profit sank in the third quarter after it cut car prices to lift sales. Profit fell to $1.4 billion from $2.2 billion a year earlier, a drop of 37 percent, the company said. Sales rose to $28.1 billion from $25.2 billion.

Tesla reported a fourth straight decline in quarterly profit even as sales rose, triggering a drop in its shares in after-hours trading. The car company run by Elon Musk reported third-quarter earnings plunged 37% to $1.

Tesla is still predicting they will go unsupervised this year in Austin. Their crash numbers don't say they should

Tesla reported a profitable third quarter today — its first this year — as shoppers scrambled to snatch up the company’s EVs in record numbers before the federal EV tax credit expired.

Tesla's revenue rose 12% year on year, the first increase in three quarters. Despite that, net income plunged 37% from a year earlier.