Aston Martin warns profits to miss forecasts as tariffs squeeze sales

Staff
By Staff
2 Min Read

Aston Martin has warned it will post lower than expected profits for the past year after falling sales, as the luxury car maker continues to feel the impact of 10 per cent tariffs in the US, its largest market.

The London-listed firm said gross profit margins and adjusted earnings before interest and tax are expected to be below the lower end of analyst expectations, putting 2025 earnings below £184 million.

Bosses said the weaker outcome came after the company navigated a challenging trading environment during the year, while it pressed ahead with a turnaround under Canadian billionaire Lawrence Stroll.

Aston Martin reported that it had made progress in its transformation but faced headwinds from increased tariffs in the US and a decline in deliveries of higher-margin Special model vehicles.

Total wholesale volumes fell to 5,448 in 2025, down from 6,030 the previous year, the company added.

The company has taken steps in recent months to strengthen its finances, including cutting investment plans last October.

On Friday, Aston Martin also announced it has agreed to sell naming rights for its Aston Martin F1 Team to AMR GP Holdings for £50 million.

Under the arrangement, AMR will use the Aston Martin name in Formula One until 2055, with bosses saying the deal will help boost Aston Martin’s liquidity position.

Last year, the Society of Motor Manufacturers and Traders (SMMT) urged the Government to consider the needs of small volume automotive (SVM) brands like Aston Martin as part of its forthcoming industrial and trade strategy plans.

The SMMT said brands like Aston Martin, Bentley, LEVC, Lotus, McLaren, Morgan, Rolls-Royce and more helped to bring in £5.5 billion and accounted for nine out of 10 automotive exports each year.

Together these brands were responsible for 4% of total UK car production yet accounted for 12% of the value.

It said SVMs face unique challenges with lower volumes and longer product development cycles meaning production costs can take longer to recoup.

Share This Article
Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *