Supply chain issues affect Aston Martin deliveries and profits

Supply chain issues affect Aston Martin deliveries and profits
Supply chain issues affect Aston Martin deliveries and profits

Aston Martin has warned it will deliver fewer cars than expected this year after being hit by supply chain issues.

The luxury carmaker cut its forecast for deliveries and profit margins as the company was also hurt by the weak pound.

Executive Chairman Lawrence Stroll said supply chain issues plagued the planned delivery of more than 400 vehicles in the past quarter.

He added that the situation is “already improving” but has hurt the company’s short-term financial performance.

Aston Martin has told investors it now expects total wholesale sales of between 6,200 and 6,600, having previously forecast at least 6,600 for the year.

The company added that supply chain issues had a “more protracted” impact on working capital than expected.

He said profit margins for the current year are also expected to be weaker than previously forecast as they also absorb the impact of the weak pound.

Mr Stroll said: “On the one hand we have continued to see very impressive demand across our product range and the underlying fundamentals of Aston Martin are very strong.

“On the other hand, and against the backdrop of supply chain and logistics disruptions as well as inflationary pressures affecting the entire automotive industry, over the past two quarters we have encountered specific issues supply chain challenges that have delayed our ability to meet customer demand.”

It came as the company said pre-tax losses for the quarter ending September more than doubled to £225.9m from £97.9m in the same period last year.

Meanwhile, revenue rose 33% to £315.5m for the latest quarter.

. problems supply chain affect deliveries profits dAston Martin

. Supply chain issues affect Aston Martin deliveries profits

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