Aston Martin warns on profits as US tariffs dent demand
By Abigail Townsend
Date: Monday 06 Oct 2025
(Sharecast News) - Aston Martin Lagonda Global Holdings warned on profits and launched an immediate review of costs on Monday, after US tariffs crashed third-quarter demand.
The British luxury car marque said it delivered 1,430 wholesale units during the three month period, below guidance for around 1,641.
It blamed the shortfall on weaker-than-expected demand in the North America, due to Donald Trump's swingeing tariff regime, and in Asia Pacific including China.
Aston Martin said: "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."
Production was halted at Jaguar Land Rover last month after the firm was hit by a massive cyber-attack, costing it millions in lost revenues.
Also expected to weigh on the fourth quarter was below-forecast sales of Aston Martin's new Valhalla supercar.
The hybrid model entered production in the third quarter, with initial customer deliveries still slated for the fourth.
However, Aston Martin said that while deliveries would still go ahead, the timeline had been delayed, reducing expected wholesale numbers to around 150.
As a result, third-quarter full-year earnings before interest and tax are now expected to come in at the lower end of analyst expectations, which is currently for a loss of around £110m.
It also no longer expects to generate positive free cash flow in the second half.
Total wholesale volumes in the full year, meanwhile, are expected to decline by mid-high single digit percentage when compared to last year's 6,030.
The FTSE 250 firm said it had launched an "immediate" review of future cost and capital expenditure in response.
"This will also include a review of the future product cycle plan, in response to market and regulatory dynamics," it noted.
"It is expected that this will result in lower capital investment in engineering and development than previously guidance."
Warwickshire-based Aston Martin - which was founded in 1913 - is due to post third-quarter numbers of 29 October.
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