Tesla Motors Investor Presentation
Spring 2012
© Copyright 2012 Tesla Motors, Inc.
Forward-Looking Statements
Certain statements in this presentation, including statements relating to the development, testing,
performance, pricing, attributes, schedule of development, launch, and volume expectations of Model S,
Model X and Gen III; the ability to achieve revenue, gross margin, spending and profitability targets; the
ability of Tesla to produce vehicles at its factory; the products and schedules related to, and the financial
results expected from, Tesla’s development programs with Daimler and Toyota; the sufficiency of current
available funds to develop Model S and Model X; and the ability of Tesla to execute on its new interactive
retail strategy and future store opening plans are “forward-looking statements” that are subject to risks and
uncertainties. These forward-looking statements are based on management’s current expectations, and as
a result of certain risks and uncertainties, actual results may differ materially from those projected.
The following important factors, without limitation, could cause actual results to differ materially from those
in the forward-looking statements: market acceptance of electric vehicles in general and new Tesla vehicle
models, specifically Model S and Model X; delays in the design, manufacture, launch and financing of
Model S, including the build-out of its manufacturing facility; the risk associated with a decline in revenues
prior to the launch of Model S; achieving expected results from powertrain systems; competition in the
automotive market; Tesla’s ability to establish, maintain and strengthen the Tesla brand; the unavailability,
reduction or elimination of governmental and economic incentives for electric vehicles; Tesla’s ability to
execute on its plans for its new interactive retail strategy and for new store openings as well as the risks
and uncertainties identified under the sections captioned “Risk Factors” and “MD&A” in its Form 10-K filed
on February 27, 2012. Tesla disclaims any obligation to update information contained in these forwardlooking statements.
© Copyright 2012 Tesla Motors, Inc.
Progress Timeline
Foundation for
Success
• Past Success …
Enables our Future
© Copyright 2012 Tesla Motors, Inc.
Focused Value
Creation
Lead the
Way Forward
Past Success … Enables our Future
Electric Vehicle
Intellectual Property
Roadster
Success
• Range Leader
(single charge)
• Branded Tesla as EV
leader
• Cost Leader
(battery pack)
• Safety & reliability
validated
• Proven battery pack
safety, reliability and life
• Proved EV driving could
be exciting & preferable
Platform For
Growth
Partnerships
• Investments from
Daimler, Toyota &
Panasonic
(10% combined)
• Tesla-owned stores &
service centers
• Tesla Factory
• Sales to Daimler &
Toyota validates our
technology
World Class Tech & Auto Management Team
© Copyright 2012 Tesla Motors, Inc.
Progress Timeline
Foundation for
Success
• Past Success …
Enables our Future
© Copyright 2012 Tesla Motors, Inc.
Focused Value
Creation
•
Deliver an Exceptional
Model S by July 2012
Lead the
Way Forward
Model S – Better By Design
Battery
Pack
Powertrain
© Copyright 2012 Tesla Motors, Inc.
Model S Redefines the Premium Sedan
 Designed to be a better vehicle from the ground up
 Harnessing ALL the benefits of an EV approach
© Copyright 2012 Tesla Motors, Inc.
Model S Redefines the Premium Sedan
 Stunning Interior
•
•
•
Seats 5 Adults + 2 Children
Storage Front & Back
17” Touchscreen Console
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Model S Redefines the Premium Sedan
 Leading Performance & Handling
•
•
•
© Copyright 2012 Tesla Motors, Inc.
0–60mph in 4.4 seconds (Performance Model)
Low Cg + High Torsional Rigidity
Smooth & Quiet
Model S Redefines the Premium Sedan
 Goal: 5 Star Safety Rating
•
•
•
© Copyright 2012 Tesla Motors, Inc.
Superior Frontal Crumple Zones
Minimal Side Impact Intrusion
Alum. Body = Strong & Lightweight
Model S Redefines the Premium Sedan
 Improved Reliability
•
•
•
© Copyright 2012 Tesla Motors, Inc.
Fewer Moving Parts &
Modular Design
= Service That Comes to You
No Oil Changes
Longer Brake Life
Model S Redefines the Premium Sedan
 Lower Operating Cost
•
•
Saves ≈$2,000*/yr in Fuel Cost
No Oil Changes
* - Operating Cost Assumptions
300 mi. range Model S operating cost is 3.3
cents/mi. (based on DoE Natl. avg. elec. cost of
11.8 cents/kWh )
Sports sedan operating cost is $0.20
(based on $4/gal gasoline / 20mpg = 20
cents/mi.)
($0.20 - $0.033) x 12,000 miles/yr = $2,000 /yr.
© Copyright 2012 Tesla Motors, Inc.
Model S Redefines the Premium Sedan
 More Efficient = Eco-friendly
•
•
•
© Copyright 2012 Tesla Motors, Inc.
Significantly More Efficient than
Gasoline Power
Zero Tailpipe Emissions
Recyclable Battery Pack
Model X – A New Vehicle Category
 Functionality, Style & Performance
 World’s First 2-Motor All Wheel Drive
 Over 500 Reservations in 24 Hours
Tesla Motors Model X
© Copyright 2012 Tesla Motors, Inc.
Falcon Wing Doors Deployed
Progress Timeline
Foundation for
Success
• Past Success …
Enables our Future
© Copyright 2012 Tesla Motors, Inc.
Focused Value
Creation
•
Deliver an Exceptional
Model S by July
•
Demonstrate
Economic Potential
Lead the
Way Forward
Demonstrate Economic Potential
Long Term Growth Targets
Global
Segment
Mkt. Share*
Year
Vehicles
Vehicle
Units
2012
Roadster & S
5,300+
< 1%
2013
Model S
20,000
≈1%
2014
S and X
30,000+
≈2%
Future
Lower Priced Third Generation Platform
Long Term Operating Margins Targets
Gross Margin
Operating Margin
25%
Low – Mid teens %
Historical Plant Capacity Exceeded 400,000
Vehicles per Year!
© Copyright 2012 Tesla Motors, Inc.
* - similar vehicles including
Mercedes E-Class, BMW 5
Series, Audi A6, Porsche
Cayenne, Land Rover, Audi Q7
Reservations Show Strong Demand
Cumulative
Model S Reservations
9,000
U.S. Signature Series Sold Out in Q4’11
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
-
Q1 09
Q2 09
Q3 09
Q4 09
Q1 10
Q2 10
Q3 10
Q4 10
Q1 11
Q2 11
Minimum $5,000 refundable reservation price
Limited marketing effort
© Copyright 2012 Tesla Motors, Inc.
Q3 11
Q4 11
Sufficient Liquidity to Reach Our Goals
$493M of Total Liquidity
As of 12/31/11
Remaining
DoE Facility
$189M
Cash &
Restricted Cash
$304M
Sufficient liquidity to reach profitability
© Copyright 2012 Tesla Motors, Inc.
Progress Timeline
Focused Value
Creation
Lead the
Way Forward
•
Deliver an Exceptional
Model S by July
• Tesla: Built to Win
•
Demonstrate
Economic Potential
Foundation for
Success
• Past Success …
Enables our Future
© Copyright 2012 Tesla Motors, Inc.
Electric Powertrain - Leadership on Range & Cost
 Tesla Leads on Range (maximum miles per single charge)
Tesla Model S *+
300
Tesla Roadster +
245
Ford Focus †
76
Nissan Leaf †
73
Chevy Volt †
* - Estimated
+ - EPA 2-cycle city/highway test
† - EPA derived 5-cycle test
35
 Tesla Leads on Cost (battery pack cost – $/kWh)
$700
$650+
$600
$500
$400
[1]
Cost Survey: Roland Berger Study
LiB Value Chain and Cost Model (March
2011)
[2] Tesla Model S – Projected cost not
disclosed. Includes all cells, electronics,
packaging and labor costs
$345
[2]
2020 [1]
Tesla Model S
$300
$200
$100
$2010 [1]
© Copyright 2012 Tesla Motors, Inc.
Tesla Powertrain – Proprietary from End-to-End
Integration = A System that is Greater than Sum-of-the-Parts
18650 Cells
Battery Pack
Power Electronics
Motor
Gear Box
Intellectual Property and Patent Protection Throughout
• Unique Chemistry
• Proprietary Cathode
Geometry
• Automotive-Grade
Construction
• Passive Safety
Features
• Modified Cell Case
• High Energy Density
• Active Cooling
• Mfg Trade Secrets
• Charge Balancing
• Active Safety Features
• Power Mgmt Software
• 2 Way Inverter
• Charge Mgmt Software
• On Board Charger
• Flux Phasing & Mgmt
• Compact Design
• Thermal Mgmt Software
• Instant Peak Torque
• A/C Induction Motor
• No Rare Earth
Metals
• 87% Avg Efficiency
• In House Mfg
Over 50 Patents Awarded
Over 230 Patent Applications Pending
© Copyright 2012 Tesla Motors, Inc.
• Proprietary Design
• Up to 18,000 RPM
• No Shifting
• In House Mfg
EV Powertrain Business – World Leader
 World’s Largest Vendor of EV Powertrains
 Toyota RAV4 EV – Available 2012

Providing full powertrain under multi-year agreement
 Expanding Relationship with Mercedes-Benz


© Copyright 2012 Tesla Motors, Inc.
Successful Smart fortwo and A-Class programs
Starting development program for a new M-B vehicle
with a full Tesla powertrain
EV Platform = Rapid, Low-Cost Development
Model S
Model X
•Common
Powertrain
•Fewer Parts
•Revolutionary
Packaging
•No Transmission
•Adaptable
Chassis Platform
•No Emissions
Control Systems
Leveraging the unique benefits of the electric powertrain
© Copyright 2012 Tesla Motors, Inc.
High Product Refresh Rate
• Shipping since 2008
• Over 2,100 sold in over 30 countries
• Over 20 million miles driven
Modified
Lotus Elise
Platform
Tesla Roadster
• Available by July 2012* - Release Candidate phase in progress
• 20,000 units per year, pricing starting at $49,900*
• World’s first, production intent all-EV vehicle
Tesla’s
“S” Platform
Tesla Model S
• Production begins late 2013/Deliveries early 2014*
• 10,000 – 15,000 units per year*
• Based on Model S platform
Tesla Model X
• Smaller vehicle platform; pricing starting at $30,000*
• Positioned for “mass-premium” market appeal and volume
• Availability TBD
Tesla Gen III
* - Estimated dates, volumes & pricing (net of US tax credit of $7,500 for purchase of alt. fuel vehicles; credit may expire)
© Copyright 2012 Tesla Motors, Inc.
Tesla’s
“Gen III”
Platform
Fremont Facility – Room for Significant Growth
Offices
Paint Shop
• 5 million ft2 / 200+ acres
• 400,000+ unit historical
capacity
Final Assembly
• $42MM purchase price
• Equipment purchased at
attractive prices
Body In White
Plastics
Press Shop
Material Handling
Tesla Factory
Fremont, CA
Planned Model S Facilities
© Copyright 2012 Tesla Motors, Inc.
Future Programs
Agile Manufacturing – Latest Technology
Body Assembly Center
Model S & Paint Center
Press Center
Model S on Automated
Guided Vehicle
Indoor Test Track
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Plastics Injection Molding
Tesla-Owned Distribution & Service
•
Manage the entire customer experience; Accelerate time to market
•
Sales at retail price; Lower costs of facilities, inventory & service
•
2011: 20 Stores 2012: ≈ 30 stores 2013: ≈ 50 stores
(store totals exclude additional service centers)
Existing
© Copyright 2012 Tesla Motors, Inc.
Planned
Better Customer Experience
Storefront
Stores designed to:
 Engage
 Excite
 Inform
Interior
Test Drive Cars
• Transparent and
inviting
• Affluent, high-traffic
locations
• Technology that
informs customers
• “Product Specialists”
to answer questions
• Display vehicles open
for customers to sit in
© Copyright 2012 Tesla Motors, Inc.
• Conveniently located
parking area for test-drives
and Tesla vehicle charging
Summary
Focused Value
Creation
Lead the
Way Forward
•
Deliver an Exceptional
Model S by July
• Tesla: Built to Win
•
Demonstrate
Economic Potential
Foundation for
Success
• Past Success …
Enables our Future
© Copyright 2012 Tesla Motors, Inc.