Tesla brought in $595 million of automotive regulatory credits last quarter compared to a $400 million overall operating profit, meaning Tesla was in the red to start 2025 when excluding the credits, which are all essentially free profit Tesla receives from its gas car rivals looking to comply with emission requirements.

Tesla's first-quarter earnings report itself was a disaster, but Musk gave investors some much-needed good news on the conference call.

Tesla profits have taken a plunge with the stock tumbling by more than 40 percent this year. Meanwhile, Elon Musk, on his company's earnings call on Tuesday, said that he will be stepping back from the White House DOGE office in May.