Luxury carmaker Aston Martin has reported a 36% increase in third-quarter revenue to £388.7m as deliveries of its high-value Valhalla supercar strengthened the product mix, helping narrow losses despite little change in overall vehicle volumes.
The Warwickshire-based company recorded a pre-tax loss of £77.1m for the three months to September, compared with £111.9m a year earlier. Gross profit increased 76% to £145.5m, while the gross margin improved to 37.4% from 29%.
The improvement reflects a greater contribution from Aston Martin’s limited-production Specials models, alongside benefits from its ongoing operational transformation programme. These vehicles sell at substantially higher prices than the company’s conventional sports cars and SUVs.
Total wholesale deliveries were virtually unchanged at 1,431 vehicles, compared with 1,430 in the corresponding quarter last year. However, the composition of those deliveries shifted towards higher-value models, increasing revenue without a comparable rise in the number of vehicles supplied to dealerships.
Core wholesale volumes, excluding Specials, declined 9% to 1,304 vehicles. Specials accounted for 127 deliveries, compared with just two during the equivalent period in 2025, with the increase driven by the Valhalla Coupe.
Across the first nine months of the year, Aston Martin delivered 3,762 vehicles, up 12%. Specials accounted for 352 deliveries during that period, including approximately 350 Valhalla Coupes, compared with just 20 Specials in the first nine months of 2025.
The effect on pricing was substantial. Aston Martin’s total average selling price increased to £247,000 during the quarter from £178,000 a year earlier. The average price of core models increased more modestly, from £177,000 to £190,000.
These figures demonstrate the contribution of the company’s more exclusive vehicle programmes to overall revenue. The core range continues to account for the majority of vehicles delivered, while the smaller Specials business generates a disproportionately valuable contribution to sales.
The improved product mix helped increase adjusted earnings before interest, tax, depreciation and amortisation to £69.9m, compared with £10.7m in the previous year’s third quarter. The adjusted EBITDA margin rose to 18% from 3.8%.
Statutory operating losses also narrowed, falling to £26.4m from £56.1m. However, the company continued to incur substantial financing costs, with net financing expenses of £50.7m contributing to the remaining pre-tax loss.
Cash generation improved during the quarter. Free cash outflow narrowed to £27.6m from £94m a year earlier, supported by stronger operating performance and reduced investment expenditure.
For the first nine months, free cash outflow fell to £225.2m from £415m. The company generated £45.2m from operating activities during that period, compared with an £89.4m outflow in the equivalent period last year.
Despite the improvement in cash flow, the balance sheet remains heavily indebted. Net debt stood at £1.57bn at the end of September, compared with £1.38bn at the end of 2025, following changes to the group’s financing arrangements.
Aston Martin completed a debt financing package in July comprising a £450m senior secured term loan and a £100m delayed-draw facility. The financing carries a margin of 6.75 percentage points above SONIA and matures in July 2031.
The company reported approximately £322m in cash and available liquidity at the end of September. Its adjusted net leverage ratio improved from 12.8 times at the end of 2025 to 6.7 times, largely reflecting higher earnings over the preceding 12 months despite the increase in net debt.
Chief executive Adrian Hallmark has maintained the group’s full-year expectations, supported by higher-value deliveries and improvements in manufacturing efficiency. Aston Martin continues to manage wholesale volumes against retail demand, with core retail sales exceeding wholesale deliveries during the first nine months.
The company expects total wholesale volumes for 2026 to remain broadly similar to 2025, including approximately 500 Valhalla Coupe deliveries. It forecasts a gross margin in the high-30s percentage range and an adjusted operating margin improving towards break-even.
Product development is continuing alongside the financial restructuring. The company has introduced the Valen and unveiled the Valhalla Spider, with deliveries scheduled to begin in the second and third quarters of 2027 respectively.
The latest results leave Aston Martin with higher revenue, a narrower quarterly loss and reduced cash outflows, while its £1.57bn net debt remains a substantial financial commitment. The company has retained its annual guidance, including its target for approximately 500 Valhalla Coupe deliveries during 2026.
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