Tesla reported weaker-than-expected quarterly profits on Wednesday despite increased auto sales, depressing shares in after-hours trading amid questions over massive capital spending plans.

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 shares fell nearly 3% after hours after second quarter adjusted earnings and margins missed expectations despite record revenue and deliveries.

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