TSLA · 10-Q · 2026Q3 · Full report

SG&A Expense Trends

Tesla, Inc. · 2026-10-22 · Importance 72 · Surprise 74

SG&A expense increased $1.65 billion, or 40%, to $5.83 billion for the first nine months of 2026. Third-quarter SG&A increased $453 million, or 29%, to $2.02 billion. Nine-month growth included $870 million of higher stock-based compensation, primarily related to the 2025 CEO Performance Award, $357 million of higher employee and labor costs including professional services, $275 million of higher facilities and computer software expenses, and $136 million of higher operating expenses including litigation. These increases materially raised operating costs while Tesla expanded facilities, software infrastructure and operations.

Key facts

• SG&A expense was $2,015 million for the three months ended September 30, 2026, an increase of $453 million, or 29%, compared to the three months ended September 30, 2025. source
• SG&A expenses increased $1.65 billion, or 40%, in the nine months ended September 30, 2026, driven by a $870 million increase in stock-based compensation primarily related to the 2025 CEO Performance Award. source