Aston Martin reported a larger-than-expected first-quarter pretax loss on Wednesday. The British luxury carmaker produced fewer vehicles and burned more cash than analysts expected, sending its shares down 7%.
Aston Martin launched numerous new cars in the previous year, including its next-generation sports cars, the DB12 and Vantage. However, it has halted manufacturing older models in preparation for ramping up production of new models later this year.
The shares plunged as much as 14% to their lowest level since November 2022 and were last down 7% at 0837 GMT. The second quarter’s performance is likely broadly comparable to the first, but the group’s 2024 prognosis remains intact.
Aston Martin named Bentley CEO Adrian Hallmark as its new CEO in March, succeeding Amedeo Felisa later this year.
The company reported 111 million pounds ($138 million) in adjusted pretax losses for the three months ending March 31, up from 57 million pounds the previous year. Analysts expected an average loss of 93 million pounds.
Total wholesale volumes fell short of forecasts, and free cash outflow exceeded planned.
Aston Martin plans to begin delivery of its V12 flagship sports vehicle, powered by a new engine, in the fourth quarter. It had pushed back its first electric vehicle by a year to 2026.
