Aston Martin Lagonda Global Holdings PLC (LON:AML) delivered an underlying profit in the first quarter, in line with management’s expectations.
The new management team, intent on turning the company around and making the market forget the luxury car maker’s car-crash flotation, said revenue in the first three months of 2021 increased by 153% to £224.4mln from £88.8mln the year before, driven by car deliveries rising to 1,353 from 578 the previous year and what the company called “stronger pricing dynamics” as dealers ran down stocks of its GT/Sport model.
Adjusted underlying earnings (EBITDA) were positive at £20.7mln versus a loss in the first quarter of last year of £38.1mln while the loss before tax narrowed to £42.2mln from £110.1mln.
Net debt reduced to £722.9mln from £956.1mln a year earlier and £727mln at the end of 2020, with the company’s cash position improving to £575mln from £489mln three months earlier.
"I am pleased with our performance in the first three months of the year, delivering results in line with our expectations of good growth and progress on the path to improved profitability and cash generation. Dealer inventory for GT/Sport is now at our ideal levels, earlier than originally planned and supporting stronger pricing dynamics. We are encouraged by the growth in orders for both GT/Sport and DBX, providing good visibility,” said Tobias Moers, the chief executive of Aston Martin.
“Project Horizon, our plans driving growth, agility and efficiency throughout every aspect of the company, continues apace. In addition, our technical teams are focused on creating the future for our compelling products and the path to our first battery electric vehicle mid-decade as we develop our innovative product pipeline for front and mid-engine programmes and SUVs with a clear focus on electrification.
“Today's results signal our progress to date, underpinning our confidence in delivering our transformational growth plans to create a world-class, self-sustaining luxury auto-maker,” he added.