Aston Martin banishes recall woes with 13% FY revenue increase
WARWICKSHIRE-based luxury sports car maker Aston Martin has banished some of its recent woes with an improved set of financial results.
For the 12 months to December 31, 2014, the Gaydon operation saw a 13% increase in revenue to £519m, with full year adjusted EBITDA up 22% to £84.8m.
Global retail volumes increased 11% to around 4,200 vehicles and it ended its centenary year with the biggest investment programme in the history of the brand.
However, the firm knows that beneath the gloss there are still problems and the results for the current year could well be impacted by a worldwide model recall.
The company said in February that it was having to recall more than 17,000 cars because of a potentially defective part traced to components supplied by a Chinese manufacturer. The recall affected most of the cars it has manufactured since late 2007.
The investment programme itself has also tweaked interest within the automotive industry, sparking rumours of a potential buy-out.
The investment – by Italian firm Investindustrial – was followed by the signing of an engine agreement with Mercedes’ high performance division, AMG. The move has led to speculation that the German brand could be interested in taking over the famous British marque. Both sides have made no comment on the move.
However, for the moment the focus is on the improved set of results.
The firm’s Chief Financial Officer, Hanno Kirner said: “We made excellent progress on a number of fronts in 2013: growing our global sales, improving our EBITDA and building further on the company’s strong brand as we celebrated our centenary around the globe.
“We will, in the next few years, be implementing the biggest investment programme in our 101-year history, preparing the ground for new and exciting products in the future.
“Our strong ownership structure and strategic partnership with Daimler, finalised in December 2013, provides us with a solid foundation for the unprecedented investment programme that will underpin our future growth.”
He said the company was now engineering a completely new architecture and utilising the latest technologies to ensure that its next generation of sports cars were the best they could be.
“The strategic partnership with Daimler will bring with it cutting edge electrical and electronic expertise, and the shared development of world-class bespoke V8 powertrains,” he added.
Much for the sales success has been attributed to the popularity of successful Vanquish coupe and the launch of its greatly anticipated Vanquish Volante and V12 Vantage S models in Q4. In addition, the company strengthened its existing dealer network and opened in new markets, including Mexico and Thailand.
