According to Tesla Motors' report for the second quarter of 2015, the company's earnings dropped by more than $1 billion compared to the same period last year.
Despite the automaker's disappointing performance, it still continues to expand its operations and provide new services to its customers.
From April to June, the leading electric car maker was able to collect $1.15 billion, which is a significant downturn from last year's $2.67, the International Business Times reported.
Based on these figures, it appears that the company is losing upwards of $4,000 for every Model S vehicle sold.
As part of his plan to boost the company's sales, CEO Elon Musk said he will focus on cutting down production until next year. The executive said he aims to do this by skipping 2016 for the launch of a luxury model.
Instead, the company will first focus on mass producing standard electric car models. Musk believes this will help the company save and earn more funds in preparation for the launch of an all new Model 3 line in 2017.
Despite the slump, Tesla Motors has still managed to acquire a property in Dublin, CA, for a new sales and service center. Once opened, it will serve as the company's first branch in the Tri-Valley region of San Francisco, Mercury News has learned.
The site, which is at the corner of Amador Plaza Road and St. Patrick Way, used to be a dealership of the Stoneridge Jeep / Chrysler. It has a lot area of 25,000 square-feet and features a two-story building.
Tesla Motors has not yet announced when its upcoming store will open.
Aside from this, the company has also released a new firmware update to protect Model S cars from hackers. The update was developed after security experts Kevin Mahaffey of Lookout and Marc Rogers of CloudFlare hacked into a Model S car for a demonstration, according to TJC Newspaper.
The two connected a laptop into the network of the vehicle using a cable attached behind the driver side's dashboard. Almost immediately, Mahaffey and Rogers were able to gain complete control of the car's functions by exploiting a flaw in its software.
With the help of the two experts, Tesla was able to develop a security update that will patch up the software flaw. This update is now available and was already rolled out to drivers as an over-the-air file.
