Tesla Finance’s lease penetration rose year over year while sales continued to dip in the first quarter.
Leasing penetration hit 4.1% in Q1 compared with 2.2% a year prior, according to Tesla’s April 22 earnings presentation. The company’s lease portfolio slipped to $5.5 billion, down 4.5% YoY and 1.9% quarter over quarter.
Tesla delivered 336,681 vehicles in Q1, down 13% YoY and 32.1% QoQ, according to the presentation. It produced 362,615 vehicles in Q1, down 16.3% YoY and down 21.1% QoQ.
CEO Musk to step back from DOGE
Tesla Chief Executive Elon Musk will step back from his role in the Department of Government Efficiency, he said on the earnings call.
“Starting probably next month, in May, my time allocation to DOGE will drop significantly,” Musk said.
The announcement comes amid backlash from some investors related to his political involvement. Musk confirmed he would work at DOGE in a limited capacity going forward.
Meanwhile, Tesla said it would launch a pilot robotaxi service that uses full self-driving in Austin, Texas, in June. Tesla plans to produce more affordable models in June.
“Models that come out in the next months will be built on our lines and will resemble in form and shape the cars that we currently make,” Lars Moravy, vice president of vehicle engineering at Tesla, said on the call, noting that “the key is that they will be affordable and you’ll be able to buy one.”
Shares of Tesla [Nasdaq: TSLA] were trading at $250.74 as of market close, up 5.4% from market open. Tesla has a market capitalization of $785.5 billion.
Auto Finance Summit East 2025 is set for May 12-14 at the JW Marriott Nashville featuring fireside chats with Santander Consumer USA and Chase Auto. Visit autofinance.live for more information.
