Tesla maintained its Bitcoin holdings of 11,509 BTC with a value surpassing $1 billion following a market recovery, despite a disappointing Q1 earnings report showing revenue drops and lower vehicle deliveries. The energy sector showed growth, while Elon Musk plans to devote more time to Tesla amid a significant drop in the company’s stock price this year.
Tesla reports no sales from its Bitcoin reserve of 11,509 BTC during Q1 2025, as per its earnings release dated April 22. The company remains steadfast in retaining its Bitcoin despite fluctuations in market conditions. At the close of Q1, Bitcoin’s depreciation led Tesla’s holdings to be valued at approximately $951 million. However, a later increase in Bitcoin’s price to around $93,000 has elevated the value of these holdings to over $1 billion, based on TradingView data.
Despite maintaining its Bitcoin portfolio, Tesla’s Q1 2025 earnings showed significant challenges in its core automotive business. The company reported adjusted earnings per share of $0.27, below analyst forecasts of $0.41-$0.42. Revenue also fell 9% year-on-year to roughly $19 billion, trailing the expected $21 billion, with automotive revenues decreasing by 20% due to reduced deliveries and strategic price cuts.
Vehicle deliveries in Q1 dropped by 13% compared to the previous year, and production reduced by 16%. Tesla attributed production challenges to updates made to four Model Y production lines. In contrast, its energy sector demonstrated robust performance, recording a 67% increase in revenue, while regulatory credits climbed to $595 million from $432 million the prior year.
During the earnings call, CEO Elon Musk announced a shift in focus away from his role in the White House DOGE office to concentrate more on Tesla’s operations, stating he would allocate more of his time to the company now that the formation of the Department of Government Efficiency is concluded. Musk’s involvement in previous administrations has faced public controversy, including protests and boycotts. To date, Tesla’s stock has seen a 41% drop in value this year, but surged nearly 5% in after-hours trading following Musk’s announcement.
