The British luxury car manufacturer Aston Martin went deeper into losses last year. The company faced a disappointing demand for its cars. Not only the number of cars sold decreased, but also the average selling price.
Aston Martin, known from James Bond but also as co-sponsor of the Formula 1 team of Max Verstappen, suffered a loss before tax of 104 million pounds (123 million euros). In 2018 the deficit was still 68 million pounds. Turnover fell by almost a tenth to £ 997 million. At the same time, the company lost more on, among other things, depreciation and marketing costs.
Aston Martin also foresees a significant decrease in sales this year. The company ships fewer cars to dealers, so that they can reduce their stocks. It speaks of a “reset” that is necessary for Aston Martin to function as “a real luxury brand”.
The Canadian billionaire Lawrence Stroll, who recently came to the rescue of Aston Martin with a financial injection in exchange for a substantial minority interest, immediately gets the broom through as a new chairman of the board. Financial director Mark Wilson leaves early “in good mutual consultation” at the end of April. A successor has not yet been appointed.
The new coronavirus also worries Aston Martin. China is one of the fastest growing markets and the company also buys parts there. But so far, car production has not suffered from parts shortages. The stock is certainly sufficient until the end of next month.