Aston Martin has announced a reduction of 170 jobs as part of a cost-cutting strategy to recover from financial losses. The luxury carmaker faced a tough year in 2023, with supply chain disruptions and production delays leading to a decline in sales.
The company, headquartered in Gaydon, Warwickshire, is cutting 5% of its workforce, affecting roles across manufacturing, office jobs, and management. The decision aims to align resources with future plans, ensuring long-term stability. Aston Martin described the job cuts as a “difficult but necessary action” and is targeting annual savings of £25 million, with half expected to be achieved this year.
Since being acquired by Canadian billionaire Lawrence Stroll in 2020, Aston Martin has focused on launching new models to improve its performance. In September, Adrian Hallmark was appointed CEO as the company ramped up sales of its latest Vantage and DBX707 models, contributing to higher production volumes. The flagship Vanquish model also debuted in the same month.
Despite an increase in sales in the second half of 2023, overall wholesale volumes fell by 9% for the year, with only 6,030 cars sold. This decline widened pre-tax losses by 21%, reaching £289 million. Additionally, the company’s debt rose by 43% to £1.16 billion, while shares dropped by around 33% over the last year.
Adrian Hallmark acknowledged the challenges, stating that Aston Martin is undergoing an “intense period of product launches” while dealing with industry-wide and internal difficulties. He aims to transform the company from a “high-potential business to a high-performing one,” positioning it for future growth and stability.
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