Core Insights - Tesla urges American consumers to purchase vehicles now due to limited supply and the impending removal of the $7,500 EV tax credit by the end of the quarter [1][2] - The company reported second-quarter revenue of $22.5 billion, marking its sharpest quarterly revenue decline in at least the last 10 years, with earnings per share at 40 cents, below Wall Street's estimate of 42 cents [9][10] - Tesla's stock fell over 4% after hours on the earnings report and is down 17.6% year-to-date [11] Supply and Demand - Limited vehicle supply in the U.S. is expected this quarter, prompting the CFO to recommend placing orders immediately [2] - The removal of the EV tax credit is seen as beneficial for smaller competitors like Lucid and Rivian, who are less reliant on such incentives [2] Financial Performance - Tesla delivered over 384,000 vehicles in the quarter ending in June [3] - The company is experiencing a "weird transition period" as it adjusts to the expiration of incentives and the regulatory environment for autonomous vehicles [8] Cost Pressures - The CFO indicated that tariffs imposed by the Trump administration have raised costs by approximately $300 million this quarter [9] - Tesla is beginning to reduce planned incentives as vehicle sales increase, including perks like free supercharging and discounts for certain groups [3]