Tesla tops estimates for quarter, but wraps up first annual revenue drop on record

Tesla reported better-than-expected fourth-quarter results after the bell on Wednesday. Revenue for the year dropped 3%, the first time on record the company has recorded an annual decline.

Here’s how the company did, compared with estimates from analysts polled by LSEG:

* **Earnings per share:** 50 cents, adjusted vs. 45 cents, estimated
* **Revenue:** $24.90 billion vs $24.79 billion, estimated

Auto sales have been sluggish in recent quarters for Tesla, as the company faces an onslaught of competition in various parts of the world, most notably from BYD in China.

Revenue in the fourth quarter slid 3% from $25.7 billion a year earlier, with the auto segment falling 11%.

Source: [https://www.cnbc.com/2026/01/28/tesla-tsla-2025-q4-earnings.html](https://www.cnbc.com/2026/01/28/tesla-tsla-2025-q4-earnings.html)