The company generated about GBP 900,000 ($1.1 million) of cash from operations in the first half, the lowest since it started to disclose earnings.
Sunday 18, August 2019
Aston Martin Lagonda Chief Executive Officer said that the company’s first sport utility vehicle arriving later this year will be crucial for the British luxury-car maker, which is trying to revive sales growth and rebuild investor trust, reported Bloomberg.
The DBX is expected to add about 4,000 units to annual deliveries after its launch in late 2019. The automaker cut its overall sales target for this year by 11 per cent last month to a minimum of 6,300 cars.
The DBX will be the biggest step yet in the CEO’s campaign to win over buyers and regain investor confidence in the Gaydon, England-based carmaker.
Waning demand in the UK and Europe have left Aston Martin’s stock valued at a quarter of its initial public offering price just 10 months ago—the worst-performing new listing on London’s main market in more than two years.
Andy Palmer, Aston Martin Lagonda Chief Executive Officer, said, “The key, of course, is DBX, when you see DBX when you hear DBX and when you drive DBX, it should shout Aston Martin at you.”
Palmer did not rule out raising more funding should Aston Martin need to replenish its declining cash pool.
The DBX will compete with the Porsche Cayenne and Macan, the Bentley Bentayga, and the Lamborghini Urus. Adding an SUV is a tactic that is worked for Bentley, which has doubled production numbers with the Bentayga, and for Porsche, whose $50,000 Macan is the company’s best-selling vehicle.