Tesla Keeps Bitcoin Holdings Unchanged, Posts $112M Impairment Loss

Tesla left its bitcoin treasury untouched in the second quarter, holding steady at 11,509 BTC even as the cryptocurrency’s price dropped 14% during the period.

Impairment Loss Tied to Price Decline

The automaker reported an after tax impairment loss of $112 million on its digital asset holdings. Bitcoin fell from around $83,000 at the start of the quarter to roughly $58,000 by late June before recovering to trade near $65,840. Under current accounting rules, companies must record such declines through earnings, even without selling.

Nearly Four Years Without a Trade

Tesla has not bought or sold bitcoin since 2022, when it offloaded about 75% of its original position. The company first invested $1.5 billion in early 2021 and briefly accepted bitcoin as vehicle payment before dropping the option over environmental concerns. Its remaining holdings still rank among the largest corporate bitcoin treasuries, though far behind aggressive accumulators like Strategy.

Earnings Come in Mixed

Tesla posted non-GAAP earnings of $0.33 per share, below the expected $0.55, while revenue reached $28.2 billion, beating forecasts of $27.6 billion. Gross margin stood at 16.8%, GAAP net income was $1.11 billion, and free cash flow was negative $1.1 billion.