Aston Martin has cautioned that its losses will deepen this year, citing weaker-than-expected demand in North America and Asia-Pacific alongside the impact of US tariffs.
The company said tougher global conditions and ongoing tariff effects mean it now expects total wholesale volumes in 2025 to fall by a mid-to-high single-digit percentage from 2024’s 6,030 units.
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It no longer anticipates meeting its previous 2025 wholesale guidance following third-quarter performance and revised expectations for the fourth quarter.
“The global macroeconomic environment facing the industry remains challenging. This includes uncertainties over the economic impact from US tariffs and the implementation of the quota mechanism, changes to China’s ultra-luxury car taxes and the increased potential for supply chain pressures, particularly following the recent cyber incident at a major UK automotive manufacturer,” the luxury car maker’s statement read.
Adjusted EBIT for 2025 is now forecast to come in below the lower end of market consensus, cited at a loss of £-110m (-$148m), reflecting reduced volumes and pressure on gross margin per vehicle.
Capital expenditure for 2025 is expected to be around £375m, down from an earlier plan of about £400m, while SG&A is still set to decline by roughly 10% from 2024’s £313m.
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By GlobalDataAston Martin no longer expects to generate positive free cash flow in the second half of 2025, although it anticipates sequential improvement in the fourth quarter.
The company said it continues to expect a material improvement in profitability and free cash flow in 2026, supported by consistent Valhalla deliveries and ongoing cost reduction measures within SG&A.
Wholesale deliveries in the third quarter of 2025 were approximately 1,430 units, below prior guidance for a level broadly in line with the same period a year earlier (Q3 2024: 1,641).
The shortfall was attributed to softer demand in North America, where tariffs continue to weigh, and in APAC.
Retail volumes in the quarter were in line with wholesales. Financial performance for the period will also reflect a less favourable mix owing to fewer special deliveries.
The company said it has continued rolling out new core derivatives, with customer deliveries of the Vanquish Volante beginning in the third quarter.
It expects to start delivering the Vantage S and DBX S in the fourth quarter.
In March this year, Aston Martin said it would raise funding from its chairman and the sale of its stake in the Formula One team he owns, as the luxury carmaker tackles rising losses.
Aston Martin completed the sale of shares in AMR GP during the third quarter. Total liquidity at period end was roughly £250m.
