30th Jul 2025 12:25
(Alliance News) - Aston Martin Lagonda Global Holdings PLC on Wednesday said tariff uncertainty weighed on first half performance although it predicted a brighter second half boosted by the launch of its first plug-in hybrid electric supercar.
The Gaydon, Warwickshire-based luxury car maker said pretax loss narrowed to GBP140.8 million in the six months ended June 30 from GBP216.7 million a year prior.
Gross profit tumbled 46% to GBP454.4 million from GBP603.0 million, with a gross margin of 27.9% compared to 38.6% a year ago.
Revenue fell 25% to GBP454.4 million from GBP603.0 million with wholesale volumes down 3.8% to 1,922 from 1,998.
In response, shares in Aston Martin fell 5.7% to 74.30 pence each in London on Wednesday.
First half performance reflected fewer Specials deliveries in addition to disruption caused by US tariff implementation, Aston Martin said. It has maintained a disciplined approach to production and deliveries ahead of a planned second half ramp-up, the car maker said.
Chief Executive Adrian Hallmark said: "Our financial performance reflected fewer planned Specials deliveries as we advance towards commencing initial customer deliveries of Valhalla, our first-ever mid-engine [plug-in hybrid electric] supercar, in Q4 2025".
Core average selling prices rose 7% in the half year to GBP192,000 which Hallmark said was encouraging.
But the "evolving and disruptive" US tariff situation was "unhelpful" in the second quarter, he said.
"We resumed shipments to the US in June in anticipation of a finalised agreement which came into effect on 30 June 2025. We continue to actively engage the UK government to urge them to improve the quota mechanism to ensure fair access for the whole UK car industry to the 10% rate on an ongoing basis," Hallmark said.
Looking ahead, Aston Martin said it continues to expect to deliver a significantly stronger second-half performance compared with the first, starting with a quarterly sequential improvement in the third quarter. It is expected that the fourth quarter will be the primary driver of the second half.
Aston Martin revised 2025 guidance to include the impact from foreign exchange rates movements, increased investment in software and infotainment enhancements and action to support its dealers in China to reduce stock levels prior to future market improvements.
The firm expects gross margin to be broadly in line with 37% reported in 2024, down from around 40% before. Adjusted earnings before interest and tax is now expected to "improve towards breakeven" compared from "positive" previously.
By Jeremy Cutler, Alliance News reporter
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