Aston Martin Lagonda Global Holdings Plc saw sales of its luxury cars drop in the first quarter as the company wound down production of its older Vantage sports car model.
The company shipped 945 cars in the period, a 26% decline from the prior year. That caused revenue and adjusted earnings before interest, taxes, depreciation and amortization to fall. While both measures missed analysts’ estimates, the company stuck to its guidance for the year.
Revenue dropped 10% to £267.7 million ($334 million), while adjusted Ebitda came in at £19.9 million, a 34% slide, Aston Martin said.
The slump reflects the end of production and delivery of some of Aston Martin’s core models, Executive Chairman Lawrence Stroll said in a statement Wednesday. The company has started making new versions of the Vantage and the DBX707 SUV, which are yet to go on sale.
Stroll is working through a lengthy turnaround at Aston Martin and has been forced to repeatedly raise capital since rescuing the company in 2020, bringing in new shareholders such as Saudi Arabia’s Public Investment Fund. In March, the company completed a £1.15 billion ($1.4 billion) refinancing to ease investor concerns about its debt burden, although it will continue to pay high interest rates on the new bonds.
Aston Martin also confirmed Wednesday it will launch a new sports car with a V12 engine, as part of its strategy of introducing more models more frequently.
Former Bentley Motors Ltd. boss Adrian Hallmark is joining as chief executive officer no later than Oct. 1, taking over from 77-year-old Amedeo Felisa to become the fourth CEO since Stroll arrived.
Aston Martin in February pushed back the launch of its first fully-electric car by a year to 2026 and is opting to make a line of plug-in hybrids to bridge the transition to battery-only vehicles.
Last week, Bloomberg News reported that Stroll is in early talks to sell another minority stake in the Aston Martin F1 team that he owns separately to the luxury car maker.