04:40 PM EDT, 10/22/2025 (MT Newswires) -- Tesla's (TSLA) third-quarter earnings fell more than expected, while the electric vehicle manufacturer said late Wednesday that record deliveries helped propel its revenue above Wall Street's estimates.

Adjusted earnings declined to $0.50 per share from $0.72 a year earlier, compared with the consensus on FactSet of $0.56. Revenue rose 12% to $28.1 billion, higher than Wall Street's $26.54 billion view.

Tesla's shares were down 1.7% in after-hours trading after being up 8.7% through Wednesday's close this year.

Automotive revenue grew 6% to $21.21 billion, while the energy generation and storage segment climbed 44% to $3.42 billion.

An annual gain in third-quarter deliveries and a boost from the energy generation and storage division helped drive consolidated revenue, the company said in its shareholder deck. Earlier this month, Tesla posted record deliveries that exceeded Wall Street's estimates.

At the time, UBS Securities and Wedbush Securities pointed to a pull-forward in US demand ahead of the expiry of the EV tax credit. Both brokerages said that the quarter also benefited from a demand rebound in China.

However, the expiry of tax credits at the end of September and sluggish trends in Europe pose headwinds to Tesla, Wedbush analysts including Daniel Ives said in a Sunday note.

Investors remain focused on the company's Robotaxi rollout across the US and volume production trajectory for cybercabs and Tesla's humanoid robot, Optimus, in 2026, Ives said on Sunday.

Tesla's board last month proposed a new compensation package potentially worth about $1 trillion for Chief Executive Elon Musk that would boost his voting power in the EV maker. Ives expects shareholders to approve that package early next month.

"While we face near-term uncertainty from shifting trade, tariff and fiscal policy, we are focused on long-term growth and value creation," Tesla said late Wednesday. "We are prudently making the necessary investments in our business, including future business lines, that we believe will drive incredible value for Tesla and the world across transport, energy and robotics."