Tesla's profits fell last quarter as the car company run by Elon Musk shoveled more money into research and development, cutting into profits from a sharp increase in vehicle sales.

Tesla's profits fell last quarter as the car company run by Elon Musk shoveled more money into research and development, cutting into profits from a sharp increase in vehicle…

Tesla's profits fell last quarter as the car company run by Elon Musk shoveled more money into research and development, cutting into profits from a sharp increase in vehicle sales

Shares fell 2.8 per cent after the closing bell on Wall Street

Tesla reported second-quarter profits of US$1.1 billion, down about 5 per cent from the year-ago level.