Tesla posted Q1 earnings near expectations as Elon Musk outlined higher spending, robotaxi expansion, robot production plans and EVs.

Tesla sharply raised its spending plan to more ​than $25 billion for the year as CEO Elon Musk pours money into artificial intelligence, robotics and chips - moves he said were "well justified" to build big future revenue streams.

Tesla reported an uptick in quarterly revenue and profit, but the costs of pivoting to an AI future are starting to add up.

Companies owned by Elon Musk reportedly purchased more than 1,000 Cybertrucks in an effort to artificially boost sales figures for the Tesla vehicle, according to a report by S&P Global Mobility.

It raises a key question for investors: whether Tesla’s rising spending can be justified without the kind of established, high-margin cash engines that allow Big Tech peers to fund bigger investments.

Tesla’s profit rose in the first quarter as its car sales rebounded from a sharp slump in 2025. View on euronews

Tesla's profit rose in the first quarter as its car sales rebounded from a sharp slump in 2025. The electric vehicle maker said it earned $477 million in the quarter, up 17% from a year ago. Earnings per share totaled 13 cents.

Tesla reported higher first-quarter profits and outlined plans for robotaxis, AI and manufacturing expansion in Texas.