This article first appeared on GuruFocus.
Tesla (TSLA, Financials) notched its first monthly sales growth of the year in France and Denmark, offering a rare bright spot in a tough 2025 for the electric carmaker in Europe.
Industry data showed September sales rising 2.7% in France and 20.5% in Denmark, where the revamped Model Y finished as the best-selling vehicle. Norway also remained solid, with registrations up 14.7% as Tesla’s Model Y and Model 3 held the top two positions.
Sweden told a different story. Registrations fell 64% year over year to 1,726 cars, though the figure marked a sharp rebound from just 210 vehicles in August.
The mixed picture shows how hard it is for Tesla to do business in Europe, where its restricted range of models is facing more and more competition from new electric vehicles made by European and Chinese companies. The last new mass-market vehicle the business made was the vehicle Y in 2020.
Tesla’s broader performance this year underscores the pressure. From January through August, sales dropped 42.9% in the European Union and 32.6% across the continent. Rival BYD has even outsold Tesla in the EU twice this year, including in August.
The company hopes its updated Model Y, rolled out in June, can steady demand and lay the groundwork for recovery. Investors will be looking to Tesla’s upcoming quarterly results for signs of whether September’s gains mark the start of a turnaround or just a temporary lift.