The fallout from Elon Musk's dive into politics a year ago is still hammering Tesla sales, as profits drop sharply in latest quarter.

The fallout from Elon Musk’s plunge into politics a year ago is still hammering his Tesla business as both sales and profits dropped sharply again in the latest quarter. The car company that has faced boycotts for months said Wednesday that revenue dropped 12% and profits slumped 16% in the three months through June as buyers

Tesla Inc. warned that provisions in President Donald Trump’s $3.4 trillion fiscal package will pose meaningful challenges for the EV maker in the next several months.

The electric vehicle giant reported a 12% year-over-year drop in revenues, which fell to $22.5B for the April to June quarter, according to its earnings report released Wednesday. That marks the sharpest quarterly revenue decline in more than a decade, according to Reuters.

Tesla's earnings are due today with an investor call at 5:30 p.m. ET. Elon Musk's politics have rocked TSLA stock, with shares down 18% YTD.

SpaceX has warned investors about the risk to the company from its own CEO. In documents attached to a tender offer to investors, SpaceX said there were “risk factors” associated with CEO Elon Musk’s potential return to politics,

Elon Musk, known for his disruptive approach, has often criticized Warren Buffett's traditional investment style, deeming it "boring." Despite these public jabs, Musk once sought Buffett's investment in Tesla during its early,