Tesla Investor Presentation — October 2019

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Financial Summary 04

Operational Summary 06

Financial Statements 22

Additional Information 27

Last year, our story was about ramping the Model 3. While

total volumes are expected to grow by approximately 50% in

2019 , this year our focus has been cost control and preparing

for our next phase of growth.

Despite reductions in the average selling price (ASP) of Model

3 as global mix stabilizes, our gross margins have

strengthened. Additionally, operating expenses are at the

lowest level since Model 3 production started. As a result, we

returned to GAAP profitability in Q3 while generating positive

free cash flow .This was possible by removing substantial cost

We have also dramatically improved the pace of execution and

capital efficiency of new production lines. Gigafactory Shanghai

was built in 10 months and is ready for production, while it was

~65% less expensive (capex per unit ofcapacity) to build than

our Model 3 production system in the US. Continued volume

growth and cost control are an important combination for

achieving sustained, industry -leading profitability.

3$383M increase in our cash and cash equivalents balance to $5.3B

$371M operating cash flow less capex (free cash flow)Cash

Gigafactory Shanghai ahead of schedule, trial production started

Model Y ahead of schedule, production expected by summer 2020

Record vehicle production of 96k and deliveries of 97k

Record storage deployment of 477 MWh and 48% solar growth QoQProfitability $261M GAAP operating income; 4.1% operating margin

$143M GAAP net income; $342M non -GAAP net income ex -SBC

22.8% GAAP Automotive Gross Margin