**Summary of Aston Martin Lagonda Global Holdings PLC Preliminary Results for FY2025**
**Overview**
Aston Martin Lagonda Global Holdings PLC (AML) reported preliminary results for FY2025, highlighting challenges in a difficult trading environment while achieving operational milestones. Despite external pressures, the company focused on product launches, operational transformation, and cost management.
**Key Financial Highlights**
**Revenue** Declined by 21% to £1,257.7 million due to lower wholesale volumes and fewer high-margin Specials.
**Gross Profit** Fell by 37% to £369.8 million, with a gross margin of 29.4%, impacted by tariffs, lower Specials, and increased warranty costs.
**Adjusted EBIT Loss** Widened to £189.2 million from £82.8 million in FY2024, reflecting lower gross profit and operational challenges.
**Net Debt** Increased to £1,380.3 million from £1,162.7 million, with liquidity at £250 million, supported by improved cash collections and the proposed sale of naming rights to AMR GP for £50 million.
**Operational Achievements**
**Product Launches** Commenced production of the Valhalla mid-engined PHEV supercar, delivering 152 units in Q4 2025, contributing to sequential ASP growth.
**Core ASP** Increased by 5% to £185,000, driven by new core model derivatives.
**Cost Management** Reduced SG&A and CAPEX, partially offsetting external challenges.
**Strategic Initiatives**
**Transformation Programme** Ongoing initiatives to enhance operational efficiency and reduce costs.
**Product Mix** Focus on an enhanced product mix, including the Valhalla and high-performance derivatives like the DBX S and Vanquish Volante.
**Market Demand** Strengthened customer engagement through global driving events, the Private Office for top clients, and the upcoming Q London flagship.
**Outlook for FY2026**
**Financial Performance** Expects material improvement driven by an enhanced product mix, transformation benefits, and disciplined operations.
**Wholesale Volumes** Similar to FY2025, with retail volumes outpacing wholesales.
**Gross Margin** Anticipated to improve to the high 30s%, supported by efficient production and Valhalla deliveries.
**Adjusted EBIT Margin** Expected to improve materially towards breakeven.
**Free Cash Flow** Significant improvement expected, with the majority of outflow in Q1 2026 and a material year-on-year improvement from Q2 onwards.
**CEO Commentary**
Adrian Hallmark emphasized navigating a challenging environment while delivering critical operational milestones. He highlighted the impact of geopolitical uncertainties and macroeconomic pressures but expressed confidence in the companys strategy and upcoming products to drive future success.
**Conclusion**
Despite a challenging FY2025, Aston Martin demonstrated resilience through operational achievements and strategic initiatives. The company is poised for a material improvement in FY2026, supported by an enhanced product mix, ongoing transformation, and disciplined operational focus.
| Metric | FY 2025 | FY 2024 | % Change |
|---|---|---|---|
| Revenue (£m) | 1,257.7 | 1,583.9 | (21%) |
| Gross Profit (£m) | 369.8 | 583.9 | (37%) |
| Gross Margin (%) | 29.4% | 36.9% | (750 bps) |
| Adjusted EBIT (£m) | (189.2) | (82.8) | (129%) |
| Operating (Loss)/Profit (£m) | (259.2) | (99.5) | (161%) |
| Loss Before Tax (£m) | (363.9) | (289.1) | (26%) |
| Net Debt (£m) | (1,380.3) | (1,162.7) | (19%) |
Key Observations:
- Revenue decreased by 21% from £1,583.9m in FY 2024 to £1,257.7m in FY 2025.
- Gross profit declined by 37% from £583.9m in FY 2024 to £369.8m in FY 2025.
- Gross margin decreased by 750 basis points from 36.9% in FY 2024 to 29.4% in FY 2025.
- Adjusted EBIT loss widened by 129% from £(82.8)m in FY 2024 to £(189.2)m in FY 2025.
- Net debt increased by 19% from £(1,162.7)m in FY 2024 to £(1,380.3)m in FY 2025.
Note: The negative values for net debt indicate a net debt position, while the negative values for adjusted EBIT and loss before tax indicate losses.
This table provides a clear comparison of the key financial metrics and debt position of Aston Martin Lagonda Global Holdings PLC for FY 2025 and FY 2024. The `% Change` column highlights the year-on-year changes, making it easy to identify areas of improvement or deterioration.