Aston Martin Lagonda Global, the U.K. luxury-car maker, announced on Wednesday that its first-half pretax loss had narrowed and revenue had risen. The company attributed these positive results to higher volumes, increased prices, and improved profit margins. Additionally, Aston Martin Lagonda Global expects to achieve its 2025 financial targets by the year 2024.
In the first half of the year ended June 30, the company's pretax loss decreased to GBP142.2 million ($183.5 million) from a loss of GBP285.4 million in the previous year. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) experienced a 38% growth compared to the previous year, reaching GBP80.6 million. This growth was primarily driven by an increase in revenue and a 26% rise in gross profit, which amounted to GBP236.3 million.
The company reported a 25% increase in revenue, totaling GBP677.4 million. The growth was attributed to higher volumes, strong pricing strategies, and a favorable product mix. Aston Martin Lagonda Global credited the significantly higher volumes of its DBX model for a 10% rise in total wholesale volumes, which reached 2,954 vehicles.
Looking ahead, the company maintains its guidance for 2023, expecting significant year-on-year profit growth. It is also on track to meet its ambitious 2025 targets of achieving 10,000 wholesales, generating GBP2 billion in revenue, and reaching GBP500 million in adjusted EBITDA by 2024. Furthermore, Aston Martin Lagonda Global anticipates surpassing these targets by the following year.