Aston Martin’s losses more than halved in its full-year results, despite a hit to wholesale volumes after production issues with the roll-out of its DB12 model in November.
Pre-tax losses came in at £239.8m, down 52 per cent from £495m in 2022, while adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) increased 61 per cent to £305.9m.
Adjusted pre-tax losses were reported at £171.8m, down from £451m and smaller than analysts had forecast.
The marque was forced to trim its guidance from 7,000 units to 6,700 last year after supply chain snarl-ups hit targets for its new and much-anticipated DB12 model.
Net debt increased six per cent from £756.5m to £814m.
Lawrence Stroll, Aston Martin Executive Chairman, said: “The rich mix of sales, driven by our ongoing commitment to product innovation, supported growth in average selling prices to record levels. This, combined with our ongoing portfolio transformation, resulted in a significantly enhanced gross margin, remaining on track to achieve our longstanding target of around 40 per cent gross margin in 2024.
Additionally, Aston Martin said guidance for 2024 remained unchanged and driven by strong demand, “underpinned by the exciting new next-generation launches in 2024 of Vantage and our final front-engine sports car later in the year”.
Continued capital investment is expected to reach £350m across the year, while outstanding debt is expected to be refinanced in the first half of 2024.
Stroll added: “Looking ahead to 2024, I’m excited by the future development of our product portfolio with the completion of our line-up of next-generation, front-engine sports cars, including the recently unveiled Vantage, and the continuation of our Specials programmes.”
“These and other advancements will support the delivery of the Company’s near- and medium-term financial targets, including positive FCF generation in H2’24, as we unleash the power of our brand and continue our growth trajectory.”