Tesla sales plunged by more than half last month in several European countries in a sign that Elon Musk could struggle to revive the company after he shifts from his Washington cost-cutting work to day-to-day operations again.

Tesla CEO Elon Musk gestures while wearing a cap with the words ‘Gulf of America’ as he attends a cabinet meeting held by U.S. President Donald Trump at the White House in Washington, D.C., U.S., April 30,

"This is absolutely false (and this was communicated to the media before the report was published). The CEO of Tesla is Elon Musk and the Board is highly confident in his ability to continue executing on the exciting growth plan ahead," Denholm's statement said.

With profits and the stock price sinking, board members told Musk he needed to spend more time at the company.