Aston Martin revenue rises 38% in first half of 2026

Aston Martin Lagonda Global Holding (LON:AML) has announced its interim results for the six months ended 30 June 2026.

·      Materially improved H1 2026 performance compared with prior year; including 68% increase in gross profit and gross margin improving to 34% (H1 2025: 28%) supported by over 220 Valhalla deliveries

·      Significantly reduced Q2 2026 free cash outflow at £81m (Q2 2025: £201m free cash outflow); approaching free cash flow breakeven after adjusting for half yearly interest payment

·      New £550m debt financing completed in July 2026 strengthens the Group’s financial position and enhances pro forma liquidity to c. £340m at the end of H1 2026

·      FY 2026 operational guidance unchanged whilst remaining mindful of the broader macroeconomic and geopolitical backdrop

Adrian Hallmark, Aston Martin Chief Executive commented:

“H1 2026 demonstrates that we are on track to deliver material financial improvement this year compared with 2025. Q2 2026 total wholesale volumes increased by 43% compared to the prior year period as our focus on smoothing production cadence materialised, with core retail volumes continuing to run ahead of supply.

“Valhalla deliveries in H1 2026 supported the improved financial performance including gross profit increasing by 68% from £127m to £213m with gross margin up to 34%. We expect an even stronger second half, as transformation benefits flow through and Specials deliveries continue.

“The new £550m debt financing announced last week, significantly strengthens our liquidity, providing us with both additional resilience and further flexibility to execute our current and future product plans.”

FINANCIAL REVIEW

Wholesale volume summary

Note: Sport/GT includes Vantage, DB12, DBS and Vanquish; ³Includes UK and South Africa

In line with FY 2026 guidance for total wholesale volumes to be similar to FY 2025 levels including c. 500 Valhalla deliveries, H1 2026 volumes increased 21% compared to the prior year, reflecting a more balanced production cadence. The current range of core models and new derivatives, the most recent additions being DB12 S and the Vanquish 25 limited edition, represents one of the most modern and broadest ranges in the ultra-luxury high performance market. Specials complemented the core range, with H1 2026 deliveries of 225 units, almost entirely representing Valhalla. Both Valhalla and Vanquish were recently named Robb Report 2026 “Best of the Best” in their respective classes, continuing the strong trend of positive media reviews across the range.

Core retail volumes in H1 2026 significantly outpaced wholesale volumes by over 30% as the Company continued to maintain a disciplined approach to managing the balance between production and demand. Currently, the core orderbook remains stable and Valhalla orders take deliveries into the back end of Q4 2026.

Aston Martin’s volumes remained well balanced in H1 2026 with volumes across all regions increasing compared to the prior year period.

Revenue and Average Selling Price (ASP) summary

H1 2026 revenue increased by 38% to £629m compared to the prior year period, as guided, due to the increase in Specials, driven by Valhalla deliveries, and core volumes. H1 2026 total ASP increased by 17% compared to the prior year period, reflecting higher Specials deliveries. H1 2026 core ASP decreased by 5% compared to the prior year period, reflecting targeted dealer support to reduce aged stock which, as previously guided, remained elevated during H1 2026 before expecting to revert towards normalised levels in H2 2026.

Demand for unique product personalisation continued to drive strong contribution to core revenue of c. 17%, broadly in line with the prior year period.

Income statement summary

² Alternative Performance Measures are defined in Appendix

H1 2026 gross profit increased 68% to £213m supported by higher revenue as a result of the increase in Specials deliveries and core wholesales, and transformation benefits including lower manufacturing costs and investments in product quality and customer satisfaction which were elevated in the prior year period relating to software enhancements. These improvements were partially offset by the impact of targeted dealer support and FX. This resulted in gross margin improving to 34%, with further improvement expected in H2 2026 driven by continued benefits from the ongoing transformation programme and Specials deliveries.

Adjusted EBITDA increased by £66m in H1 2026 to £63m. This reflected the higher gross profit and a 16% increase in adjusted operating expenses (ex. D&A) at £150m, in line with guidance. As a result, adjusted EBITDA margin increased to 10%.

Adjusted EBIT improved by 10% in H1 2026 to £(109)m again benefiting from the higher gross profit primarily reflecting the increased deliveries of Specials, partially offset by the 45% increase in adjusted depreciation and amortisation to £172m.

Adjusted net financing costs of £99m increased primarily due to an £11m loss on the FX movement from the impact of non-cash U.S. dollar debt revaluations. H1 2026 net adjusting finance income of £1m relates to movements in the fair value of outstanding warrants. The £450m Senior Secured Term Loan component of the recently announced new debt financing results is expected to result in a slight increase to the FY 2026 net finance cost guidance to c. £160m.

The adjusted loss before tax was £207m, largely reflecting the increase in adjusted net finance costs.

On a reported basis, H1 2026 operating loss of £57m decreased primarily due to the increase in gross profit and the adjusting other operating income relating to the gain on the sale of the Aston Martin F1 naming rights to AMR GP, which was partially offset by an increase in depreciation and amortisation. This was offset by the increase in net finance expenses resulting in an increase in loss before tax at £154m.

Cash flow and net debt summary

² Alternative Performance Measures are defined in Appendix

H1 2026 net cash outflow from operating activities improved compared to the prior year period, decreasing by £79m to £2m, largely reflecting a £66m increase in adjusted EBITDA, as explained above. Working capital outflow of £45m remained in line with the prior year period with the largest drivers being:

· £27m increase in inventories, reflecting the timing of production and deliveries of new core derivatives and Valhalla

· £28m decrease in deposits held, due to deposit outflows relating to Special deliveries

· £17m increase in receivables following the improved cash collection at year end 2025

· Partially offset by a £27m increase in payables associated with timing of payments related to future product rollout plans

As guided, capital expenditure of £120m was below the comparative period, with investment focused on the future product pipeline with an acceleration in spend expected in H2 2026.

As previously guided, free cash outflow is expected to materially improve in FY 2026 compared with the prior year supported by an enhanced product mix and more balanced production cadence from Q2 2026 onwards. Free cash outflow in H1 2026 of £198m materially improved compared with the prior year period, driven by improved cash from operating activities and lower capital expenditure. After adjusting for Q2 2026 net cash interest paid of £73m, free cash flow excluding net cash interest paid approached breakeven for the quarter.

Compared with 31 December 2025, gross debt marginally increased to £1,661m, largely reflecting the drawn element of the Yew Tree Consortium £50m committed facility and the £11m loss on the FX movement from the impact of non-cash U.S. dollar debt revaluations. Total cash and available facilities (“liquidity”) was £145m on 30 June 2026.

On 22 July 2026, the Group announced the closing of a new £550m debt financing (the “Financing”) which strengthens the Group’s financial position and provides further flexibility to execute on its long-term growth ambition. The Financing consists of a £450m Senior Secured Term Loan (“SSTL”) and a £100m Delayed Draw Term Loan, priced at 6.75% over the prevailing SONIA base rate and maturing July 2031, with lead lenders being investment funds and accounts managed by HPS Investment Partners (“HPS”). There is an additional £100m permitted debt incurrence capacity, junior to the Financing.

The £450m gross proceeds from the SSTL have been used to repay both the Group’s fully utilised £170m super senior revolving credit facility (“RCF”) and the £20m drawn under the £50m facility committed by members of the Yew Tree Consortium (“YTC Facility”) and to pay transaction costs, with the balance for general corporate purposes. The existing RCF commitments and the YTC Facility were simultaneously cancelled. The SSTL enhances the Group’s pro forma liquidity as at 30 June 2026 to c. £340m (as if those net proceeds were held as at that date).

Net debt of £1,545m as at 30 June 2026 increased from £1,380m as at 31 December 2025 primarily due to a decrease in the cash balance, an increased drawing on available facilities and an £11m loss on the FX movement from the impact of non-cash U.S. dollar debt revaluations. The adjusted net leverage ratio of 8.9x (31 December 2025: 12.8x) reflects the increase in net debt partially offset by an increase in the last 12-month adjusted EBITDA.

Outlook

Expect to deliver material improvement in FY 2026 financial performance driven by an enhanced product mix and benefits from the ongoing transformation programme and disciplined approach to operations

The global macroeconomic and geopolitical environment facing the wider automotive industry remains challenging. This dynamic landscape includes uncertainties over the economic impact from the unpredictable threat or introduction of additional U.S. tariffs, changes to China’s ultra-luxury car taxes and the continued reliance on a stable network of global suppliers. The recent conflict in the Middle East has presented the latest macroeconomic and geopolitical uncertainty. The Group has managed to limit the direct impact to the business in H1 2026 and continues to monitor the evolving situation and its potential impact on global demand, customer confidence and supply chains.

Given this landscape, the Group will maintain its disciplined approach to operations, deliver benefits from its transformation programme including cost optimisation, focus on improved cash flow generation and liquidity management. Progress on these fronts will be underpinned by the Group’s previously announced revision to its future product cycle plan, which has the dual aim of optimising costs and capital investment whilst continuing to deliver innovative products that meet customer demands and regulatory requirements.

For UK automotive manufacturers, the introduction of a U.S. tariff quota mechanism in 2025 adds a further degree of complexity and limits the Group’s ability to accurately forecast quarterly from 2026 onwards. This was evidenced in H1 2026 as the Group was required to carefully manage U.S. imports towards the end of each quarter. The Group continues to engage with both the U.S. and UK governments to secure greater clarity and certainty on the specific automotive tariff.

Under this mechanism, up to 100,000 UK vehicles can be imported into the U.S. at a 10% tariff in a calendar year, with volumes above that threshold subject to a 27.5% tariff.  The quota is currently based on a “first come first served” basis with 25,000 UK made vehicles able to qualify for the lower tariff rate each quarter from Q1 2026. Where possible, the Group will try to optimise production schedules to reduce risk associated with the quota mechanism and prioritise working capital management.

FY 2026 operational guidance remains unchanged (slight revision to net interest):

·    Total wholesale volumes in FY 2026 are expected to be similar to the prior year (FY 2025: 5,448), with retail volumes again outpacing wholesales, whilst financial performance will benefit from:

o  An enhanced product mix including c. 500 Valhalla deliveries in FY 2026

o  A more balanced production cadence on both core and Valhalla from Q2 2026 onwards

o  Operational efficiencies as a result of the ongoing transformation programme

·    Gross margin is expected to improve into the high 30s% (FY 2025: 29%), benefitting from more efficient production, an expanded range of core model derivatives, a full year of Valhalla deliveries and a continued focus on maximising the value in every vehicle sold

·   Adjusted operating expenses (excluding D&A), with an ongoing focus on cost optimisation, is expected to remain below £300m (FY 2025: £262m), whilst delivering improved operating leverage

·      Adjusted depreciation and amortisation is expected to be £375m-£400m, with the increase from FY 2025 (£297m) reflecting c. 500 Valhalla deliveries previously

·      Adjusted EBIT margin is expected to materially improve (FY 2025: (15.0)%), towards breakeven

·    Net cash interest is expected to be c.  £160m³ (previously c. £150m³)

·      Capital investment in new product developments and technology access fees to support our growth strategy is expected to reduce to c. £300m (FY 2025: £341m) as part of the reduced c. £1.7bn Capex programme between FY 2026-FY 2030 (previously c. £2bn)

·    Free Cash Outflow is expected to materially improve in FY 2026 compared with the prior year (£410m outflow) supported by an enhanced product mix and more balanced production cadence from Q2 2026 onwards. Following positive free cash flow in Q4 2025 due to the benefit of improved cash collections at year end, the Group expects the majority of free cash outflow for the year to occur in Q1 2026, with a material cumulative year-on-year improvement from Q2 onwards

Short-mid-term outlook unchanged:

The Group expects to continue delivering year-on-year improved financial performance over the short-mid-term, with a focus on margin expansion and cash flow generation, benefiting from the ongoing transformation programme initiatives and an enhanced product mix from the future portfolio of core and Special models.

³ Net cash interest assuming current exchange rates prevail for FY 2026

The financial information contained herein is unaudited.

All metrics and commentary in this announcement exclude adjusting items unless stated otherwise and certain financial data within this announcement have been rounded.