🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Aston Martin sales surge, Valkyrie delays hit profit

Published 01/07/2022, 02:33 AM
Updated 01/07/2022, 09:41 AM
© Reuters. FILE PHOTO: A logo on the Aston Martin DBX at the Aston Martin Lagonda factory in Barry, Wales, Britain February 21, 2020. REUTERS/Rebecca Naden/Pool/File Photo

(Reuters) -Aston Martin said sales to dealers in 2021 surged 82%, even as the British luxury automaker forecast lower-than-expected annual adjusted core earnings due to delays in shipments of its limited-edition Valkyrie sports car.

Aston Martin said 10 Valkyries were shipped in the fourth quarter, fewer than previously planned.

Aston Martin, fictional agent James Bond's carmaker of choice, said it expected annual adjusted core earnings to be about 15 million pounds ($20 million) lower than expected.

However, it said the Valkyries that had not yet been shipped were already allocated to customers, with significant deposits.

"The Valkyrie programme is now running at rate for 2022 having focused on delivering with no compromises in the face of supply chain challenges and huge complexity in the production ramp-up which resulted in a timing impact for 2021," Chief Executive Officer Tobias Moers said in a statement.

Overall, the company sold 6,182 cars last year, helped by demand for its first sport utility vehicle, the DBX. Shares were up 1.3% in early trade.

Pandemic travel restrictions have left many wealthy consumers with more disposable income, fuelling demand for premium and luxury cars.

On Thursday, another British luxury carmaker, Bentley, reported a record year as global sales jumped 31%.

Since going public in 2018, Aston Martin shares have slumped around 30% and the company has burnt through cash, prompting billionaire chairman Lawrence Stroll to buy a stake in the company as part of plans to raise money.

© Reuters. FILE PHOTO: A logo on the Aston Martin DBX at the Aston Martin Lagonda factory in Barry, Wales, Britain February 21, 2020. REUTERS/Rebecca Naden/Pool/File Photo

The company said its cash balance at the end of 2021 was around 420 million pounds, higher than anticipated.

($1 = 0.7385 pounds)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.